Over £360 million has been earmarked for new UK-Saudi investments, as announced by the UK government, projecting the creation of 187 jobs in total, including 97 positions in the UK.
The UK Department for Business and Trade disclosed that commitments exceeding £150 million are heading to the UK, including two new headquarters in London.
Alfanar, one of Saudi Arabia’s largest privately-owned manufacturers of electrical and electronic products, plans to establish a UK headquarters. This facility will serve as a global hub for its transport decarbonisation business and is linked to a £94 million investment, which will generate 80 skilled jobs.
This office will play a crucial role in supporting the £2 billion Lighthouse Green Fuels project in Teesside, anticipated to become the world’s largest sustainable aviation fuel (SAF) facility.
Furthermore, International Investment Gate (IIG) is set to open a European headquarters in London. This team of 17 will manage £550 million in UK assets and launch a new £60 million property fund in the UK.
Additional announcements span various sectors, including financial services, risk advisory, and fintech in Saudi Arabia. Howden is poised to introduce a reinsurance business in the Kingdom, which may create up to 30 new jobs in this multi-million-pound expansion.
Control Risks plans to establish a regional headquarters in Riyadh, employing over 50 professionals, with a strong emphasis on developing local talents.
Paymentology aims to establish a presence in Riyadh, committing USD 7.5 million towards local hiring and cloud infrastructure.
In an exciting development in growth capital, Lexham Partners and ANB Capital are launching a USD 200 million MENA Growth Fund, aimed at supporting the region’s growth-stage tech companies.
Salica Investments, based in London, introduced the USD 50 million Salica Oryx Fund I in 2021, allocating half its capital to Saudi Arabia. Notably, 13 of its portfolio companies now hold commercial registration and operations in the Kingdom, and a second USD 75 million fund is set to launch later this year, targeting investments in MENA.
The UK government has also highlighted over 10 new partnerships in education and skills. Among them, Cambridge University Press and Assessment is opening an office in Riyadh, which will create nine local jobs.
According to the UK Department for Business and Trade, these latest announcements build on more than £3.7 billion in deals secured since May 2024, resulting in the creation of over 4,100 UK jobs.
Noteworthy UK-Saudi developments recently mentioned by the government include Saudi Arabia’s successful raising of USD 39.2 billion via the London Stock Exchange year-to-date in 2025, and the Public Investment Fund’s 15% acquisition of Heathrow Airport.
UK Business and Trade Secretary Jonathan Reynolds described these new commitments as a “major vote of confidence” in the UK economy and in the government’s Industrial Strategy.
Additionally, the UK continues to negotiate a trade agreement with the Gulf Cooperation Council. Government estimates indicate that such a deal could enhance UK-GCC trade by 16%, add £1.6 billion annually to UK GDP, and raise UK workers’ wages by £600 million in the long run.
