UK Firms Expand in US Amid 2024 Presidential Election

In the first half of 2024, business activity between the UK and the US has significantly increased, with UK firms acquiring US businesses or establishing new subsidiaries rising by 45% compared to the previous year. This surge is attributed to a recovering economy post-Covid and the ongoing energy crisis, as companies seek growth opportunities across the Atlantic. US firms have also shown a strong interest, with acquisitions and new subsidiaries in the UK increasing by 71% year on year. HSBC UK reported a notable rise in payments between the two countries, with a 15% increase in payments from the UK to the US and a 5% increase in payments from the US to the UK. The data reflects a robust business corridor, despite uncertainties surrounding the upcoming American presidential election, which has raised concerns about potential economic policies, including tariffs proposed by Republican candidate Donald Trump. The findings indicate that UK businesses view the US as a stable and attractive market for expansion, driven by cultural similarities and a transparent regulatory environment. As the election approaches, international businesses are closely monitoring economic policies, with investor sentiment showing optimism for both the US and global economies compared to previous years.