By Connor Powell, Business Development Manager, Admired Properties
In the UK we are used to living with very little economic and political unrest.
When Brexit hit and we were filled with uncertainty and mistrust about where we were headed, there were lots of headlines telling us that corporate investment was on hold. However, the property market continued to flourish. The reason for this was that overseas investors still viewed the UK as a low-risk, high-reward place to invest. So, whilst a vast majority of the population in the UK were having sleepless nights worrying about the economy and the stability of their jobs, investors from countries such as Hong Kong weren’t all that concerned. Brexit may have seemed like a massive issue for a UK that normally has little to worry about but to people in Hong Kong, where political unrest is vast and far more challenging and deep-rooted than in the UK, it was barely worth registering.
Anti-government protesters took to the streets of Hong Kong in 2019 to object about plans to allow extradition to mainland China. They were worried that it would mean the people of Hong Kong being exposed to unfair trials and brutal treatment in communist China. Hong Kong, a former British colony until 1997 when it was handed back to China, has a separate, and far more liberal, judiciary and legal system than mainland China. When looking at all the unrest in the country, it is easy to see why the UK remains an enticing place to invest. In fact, many are looking to purchase homes in the UK in case they decide to leave Hong Kong for good.
Adding further reason for overseas investment, Hong Kong was named the world’s most expensive property market for the ninth year in a row in 2019, according to social policy group Demographia, meaning that investors are looking elsewhere and the current weakness of the pound makes the UK a highly attractive prospect.
So, whilst it feels like the UK has been through an extremely traumatic few years, when you break it down in comparison to other countries, we have a lot to be thankful for and a lot to offer overseas investors who view the UK as a safe harbour. I for one take great confidence in knowing this.