As the Covid epidemic ravages the economy, China captures £6 billion in UK enterprises.
CHINESE companies have snatched over British enterprises worth billions of pounds as the Covid epidemic has wreaked havoc on the economy.
In 2020, the UK’s national GDP fell by 9.8%, the greatest reduction since reliable records began in 1948. The scale is unmatched in modern history, and China is purportedly capitalizing on the United Kingdom’s dire economic state. During recessions, Beijing possesses the world’s largest foreign currency reserves, allowing it to buy shaky enterprises and assets from other countries.
Now, amid the coronavirus pandemic, China’s vulture capitalists have swooped in and snapped up a slew of British companies at discount prices.
According to the Sun on Sunday, Chinese enterprises have purchased roughly £6 billion worth of low-cost British businesses that were on the verge of collapse due to protracted lockdown conditions.
Chinese firms that report directly to Beijing’s politburo already possess £130 billion in British assets, according to reports.
Utility companies and power plants are among the assets, as are pubs and even schools.
The total number of Chinese-owned businesses in the United Kingdom has increased to 15,000 in 2021, up from 13,000 the previous year.
The number of Chinese companies operating in the UK with annual revenues of at least £5 million climbed to 838 in 2020, up from 795 the previous year.
A £4.2 billion acquisition for waste management company Viridor is one of the British businesses that Chinese companies have purchased.
Last year, the China Resources Groupl bought Viridor for a low price.
The size of Chinese ownership of British corporations has generated concerns about national security implications.
“It is already apparent that China is growing its grip in vital infrastructure projects,” Conservative Party MP Nusrat Ghani remarked.
Conservative Party MP Liam Fox reiterated these worries, saying in a Daily Mail piece, “The top priority for any sovereign government is the protection of its population from foreign and internal threat.”
“We rely on our government to keep an eye on things.
“How lax we have gotten since the end of the Cold War, despite the appearance of new geopolitical risks, not least those posed by China’s amazing ascent and tighter hold on world events, is frightening.
“Beijing is the world’s second most powerful economy and a major commercial partner for the United Kingdom and the United States.
“Many jobs are dependent on the significant investments it has made.
Brinkwire Summary News: “China has found its way.”