§ Ms DrownTo ask the President of the Board of Trade what estimate she has made of the proportion of foreign investment in Britain represented by mergers and acquisitions. [28699]
§ Mr. Ian McCartneyAccording to the results of the latest Overseas Direct Investment inquiries, conducted by the Office for National Statistics, net acquisition of UK companies' share and loan capital accounted for 48 per cent. of foreign direct investment into the UK during 1996.
Net acquisition of share and loan capital covers acquisitions and mergers (net of disposals) over 10 per cent. and also includes cash injections by the overseas parent company into existing UK subsidiaries. "Green field" sites are not included in acquisitions or mergers.