The Hindu Business Line : UK against law on outsourcing

THE UK will not pass any legislation as far as outsourcing is concerned. The British Government is committed to allowing companies to remain competitive and will not pass any legislation to force them to keep bases within the UK," according Mr Steve Firstbrook, the outgoing Assistant Director for Inward Investment at Invest.UK.

As a brand of UK Trade and Investment (UKTI), Invest.UK is a highly networked institution that helps companies set up base in the UK. UKTI is a British Government organisation. "We are seen as a management tool and the first point of contact for companies looking to set up base in the UK. Thanks to our resources and vast network, we make as straightforward as possible the process of establishing in the UK. Apart from Government machinery, we are backed by a team of professionals, including accountants and lawyers, who help companies with visa aspects, registration with Companies House, and other documentation."

Mr Firstbrook told Business Line that the target segment for Invest.UK were IT and software companies.

Invest.UK, which has been in the market for three years now, helped 19 Indian companies locate in the UK last year. These companies, majority in the IT and software sector, created 316 jobs in the UK, the highest for companies from Asia, ahead of China and Japan.

The organisation is targeting IT companies with the aim of upgrading technology levels in the UK. This, he said, would help the country stay ahead of the competition.

By setting up bases in the UK, Indian companies, in turn, would be able to access the UK and the EU markets. The latter would soon have 10 more countries in its fold. The expanded entity, Mr Firstbrook said, would have a consumer base of 510 million members.

Over the past three years, 59 companies have set up base in the UK, with 52 adding value. According to the latest figures available with the Invest.UK, these companies invested £162 million till 2001. Overall, 441 Indian companies have operations in the UK, of which 338 are IT companies.

Mr Mark Dolan, who will take over from Mr Firstbrook, said the organisation would continue to set itself "challenging and achievable" targets in the coming year. Prior to his current appointment, Mr Dolan was Trade Secretary at the British High Commission in Ottawa, facilitating partnerships between UK and Canadian telecom companies and research institutions.

In its efforts to reach out to its target audience, the institution has over the years conducted seminars and workshops across the country. Creating yet another platform for itself, Invest.UK would act as Gold Sponsors of the three-day Nasscom meet to be held in the city next week.

"A UK Government Minister will be the guest inaugural speaker at the event. He will be leading a big team; another indicator of the importance we attach to India as a major market in the developing markets," said Mr Dolan.

"The key message is that the UK is open to investment," he said Apart from looking at reinvestment and greater investments from companies with a presence in the UK, the organisation would also look to encourage start-ups.