London, England News

About London England

London is a major centre for international business and commerce and is one of three "command centres" for the world economy (along with New York City and Tokyo). London has the 6th largest city economy in the world after Tokyo, New York, Los Angeles, Chicago and Paris.

As the world's largest international banking centre with a 50% share of all European activity and Europe's second largest city economy, year-by-year London generates approximately 20% of the UK's GDP (or $446 billion in 2005); while the economy of the London metropolitan area (the largest in Europe) generates approximately 30% of UK's GDP (or an estimated $669 billion in 2005.)

London shifted to a mostly service-based economy earlier than other European cities, particularly following World War II. London's success is as a service industry and business centre can be attributed to factors such as English being the native and dominant language of business, its former position as the capital of the British Empire, close relationship with the U.S. and various countries in Asia.

Other factors include English law being the most important and most used contract law in international business and the multi-cultural infrastructure. Government policies such as low taxes, particularly for foreigners (non-UK domiciled residents do not get taxed on their foreign earnings), a business friendly environment, good transport infrastructure, particularly its aviation industry; and a deregulated economy with little intervention by the government have all contributed to London's economy becoming more service based.

Over 85% (3.2 million) of the employed population of greater London works in service industries. Another half a million employees resident in Greater London work in manufacturing and construction, almost equally divided between both.

There has been a significant fall in the number of people working in manufacturing industries in London over the last three decades, largely as a result of competition from lower cost regions but also as a consequence of technology and process improvements.

Even so, there are still more than 15,000 manufacturing businesses in London such as clothing, printing, fabricated metal, furniture and wood/products and food and drink. There is also strong growth in the recycling/environmental sector.

A strong manufacturing base still thrives in London because of its geographic location and access to huge markets, its large science and knowledge base, its physical assets, its diversity and its role as a centre of design and creative industries.

Other Major Cities:

• Birmingham
• Glasgow
• Liverpool
• Leeds
• Sheffield
• Manchester
• Bristol
• Edinburgh
• Leicester
• Kingston upon Hull
• Coventry
• Cardiff
• Bradford