Simon Barrowcliff, Executive Director, Central London Capital Markets, CBRE:
“Osborne’s rallying cry at the Shanghai Stock Exchange is a clear statement of the Government’s intent to strengthen the bond between a rebounding UK economy and a slowing Chinese one, and rolls out the red carpet for President Xi’s visit to the UK next month. His words are unlikely to settle the turbulent economic waters in Asia, but they will hearten investors in both markets.
“Major investments such as the £2bn recently earmarked for the Hinkley Point nuclear power station, set the tone for what is expected will be £105bn of UK bound Chinese infrastructure investment by 2025, but that is only part of the picture. Chinese investment into real estate in London alone hit £1.48bn in 2014, doubling the £731m seen in 2013, and bringing total investment to £3.29bn for the last five years. Despite questions about China’s faltering economy, so far all indications from our Chinese mainland investor base indicate a continuing demand for investment in UK real estate, underlining what we feel is continuing pressure to export Chinese capital.”