Britain’s bold claim to be property capital of the world is a message I am proud to endorse at the first MIPIM UK.
The UK’s stability of government, adherence to the rule of law, our time zone and the English language have supported the creation of a world-leading property sector. As a world leader, the UK’s property sector offers a safe haven for institutional investment while also attracting billions in investment from overseas.
The UK property industry is a truly nationwide concern, which in the last 25 years has led the way in the global regeneration race.
From London’s Docklands to the rebuilding of Manchester after the 1996 bomb, from the rebirth of Glasgow and Edinburgh as global centres of finance and commerce, to the rejuvenation of Birmingham, Bristol, Liverpool and Leeds, the property industry has played a crucial role in shaping the UK we know today.
By the end of 2012 the value of commercial property in the UK was £569bn – a powerhouse that is worth a third of the value of government bonds and 30% of UK equities. On top of this, the same research showed that residential property was worth £4.45bn.
The commercial property industry employs nearly 900,000 people and in 2012 directly contributed about £42bn to the UK’s GDP. This is comparable to the combined size of the country’s telecommunications and transport industries, highlighting the importance of property to the whole nation’s everyday lives.
I have great confidence in the UK property and construction industries’ power to keep improving Britain, which is why in July I announced a series of Growth Deals, which are the first instalment in plans to invest at least £12bn in local economies. This money will help to create thousands of new jobs, build thousands of new homes and start hundreds of infrastructure projects.
For the first time ever, housing, infrastructure and other funding is being brought together in a single pot and put directly into the hands of local authorities and businesses to spend the way they know best.
It is that spirit of partnership between public and private sectors which I hope to see fostered during MIPIM UK. It is a timely moment to showcase Britain’s world-leading property market.
David Cameron, prime minister
