The UAE has been witnessing a rapid surge in the number of UK businesses, effectively growing by 23% year-on-year, with many UK businesses entering the middle-eastern market through new company formation in Dubai UAE.
The growing British business setup in Dubai is happening at a time when the economic forecast from the British Chambers of Commerce (BCC) points to an economic recession in the UK predicting the economy slowing down by the end of 2022, mostly due to the staggering and unabated inflation soaring to 14%. Multiple factors such as lower consumer demand and weaker currency against the USD, higher energy costs and slower growth in international trade and investment are responsible for this massive decline.
While the UK economy slips into recession, the economy of the UAE shows resilience and stability due to higher oil prices, lower taxes and booming consumer demand. UAE’s thriving economy is driving increasing numbers of UK investors to the emirates to consolidate their operations and hedge risk.
With a surge in market entry of new British businesses, there has also been a higher demand for reputed and professional business setup consultants in Dubai UAE who can facilitate setting up new enterprises.
The business-friendly landscape and pro-business policies of the UAE are also attracting UK investors and entrepreneurs to its shore. The UAE government has also been instrumental in bringing in several progressive and strategic reforms in the recent past including the introduction of long-term visa categories, full foreign ownership etc. to promote foreign direct investment through new company incorporation. Foreign investors and entrepreneurs, aggressively looking for business expansion are moving to the UAE to protect their businesses from recessionary slowdowns.
British companies are also preferring to expand in the UAE due to higher market demand for their products and services. Given the economic slump in the UK, British investors are increasingly pursuing to diversify their businesses in other geographies with stable economies and higher market demands.
Besides Dubai, Abu Dhabi Global Market (ADGM) has also witnessed a growing interest amongst the new British investors and entrepreneurs in setting up new companies. Transparent policies, easy business setup processes and a robust regulatory framework are mainly attributing to this increased interest.
