Qatari-owned businesses in the UK supported a cumulative aggregate revenue impact of £1.3tn across the entire UK economy during 2008-22, creating thousands of jobs, according to CEBR or Centre for Economics and Business Research report.
Assessing the economic footprint of Qatar’s longstanding partnership with the UK; the report found Qatari-owned businesses in the UK supported an aggregate 611,171 full-time-equivalent (FTE) jobs as of 2022, representing one in every 44 FTE roles within the UK, highlighting the broad employment impact across multiple sectors.
In 2022 alone, these businesses supported £26.8bn in aggregate wages, salaries, and benefits for employees; cumulatively, this figure stands at £281.8bn since 2008, said the analysis, which is limited to foreign direct investment (FDI) in companies where Qatari entities own at least 10% of the equity share capital.
"Qatar and the UK share an exceptionally strong and unique relationship which stems from historic ties of friendship, which we are committed to advancing for the betterment of our peoples and the cause of global peace, stability and prosperity," said Sheikh Abdulla bin Mohammed bin Saud al-Thani, Qatar's envoy to the UK, the Ireland and the Iceland.
In 2022 alone, the cumulative turnover of these Qatari-owned businesses stood at £127.2bn, reflecting a broad and diversified range of investments.
These investments contributed a cumulative aggregate footprint of £524.3bn in gross value added (GVA). In 2022, this stood at £50.6bn, constituting about 0.6% of the UK’s total GVA in 2022.
This GVA contribution exceeds the entire GVA of the UK’s food and beverage services sector at £46bn in 2022, highlighting the considerable economic impact of Qatari investments and demonstrating a contribution on par with one of the UK’s substantial service industries.
In 2022, over half (53%) of the turnover and a third (34%) of the GVA of Qatari investments in the UK was generated outside London.
Employment impacts are evenly distributed, with one out of every two jobs created by Qatari-owned businesses located outside London, supporting job creation nationwide, CEBR said, adding the employment multiplier effect is also slightly higher outside London (3.79 against 3.61 in London), highlighting the strong ripple effects of Qatari investments in regional economies.
Qatar is one of the UK’s key trading partners, ranking as the 23rd largest export destination in 2023. The UK exported goods and services valued at £3.9bn, with the largest export category being power-generating machinery, it said; adding direct exports of £3.6bn supported an aggregate turnover of £7.4bn in the UK economy in 2022. In terms of contribution to GDP, these exports supported an aggregate GVA of £2.3bn.
The leading region for UK exports to Qatar is the North West, which contributed nearly one fifth (18.8%) of the total £3.9bn of exports in 2023. Exports to Qatar from the UK directly generated 20,185 FTE jobs directly.
Furthermore, the UK imports from Qatar reached a historical peak in 2022, at £7.8bn, partly driven by the critical supply of liquefied natural gas (LNG) in the face of geopolitical tensions due to the Russia-Ukraine conflict.
In 2022, the UK imports of Qatari gas facilitated a downstream turnover of £8.2bn. The use of this import supported £2.5bn in downstream GVA, and supported approximately 27,700 (FTE jobs across various sectors using Qatari gas.
In December 2024, Qatar committed £1bn to a UK-Qatar clean energy partnership, supporting climate technology initiatives, including advancements by Rolls-Royce. Earlier, Qatar committed up to £10bn over five years (starting in 2022) to invest in key UK sectors including fintech, zero-emission vehicles, life sciences, and cybersecurity.
These initiatives are expected to drive economic growth, create high-quality jobs, and further strengthen the bilateral relationship between the two countries.
Qatar’s positive impact on the UK economy stretches to include substantial tax payments to the UK exchequer. In 2022, Qatari-owned businesses contributed £3.4bn in taxes, with income tax on employee salaries representing £1.1bn. Qatari-owned retail trade businesses contributed £2.2bn in taxes, more than companies in all other sectors combined.
From 2014 to 2022, construction projects financed by Qatari-owned businesses generated cumulative direct business revenue of £5.1bn, with £644mn in 2022 alone. The cumulative impact of these projects rises to £12.3bn since 2014, underscoring the extensive economic ripple effects within the UK economy.
In total, these construction projects have contributed an aggregate GVA of £5.3bn, supported 70,673 FTE job years, and provided £2.6bn in employee compensation since 2014.
