Business figures in Germany are convinced the country will overtake the UK as the top spot in Europe for foreign investment next year, as the UK opts for a hard Brexit.
According to a report from Ernst & Young (EY), the UK remained the top location in Europe for foreign investment in 2016, beating Germany. The number of projects in the UK grew seven per cent to a total of 1,144, the highest EY has ever recorded.
But, the number of projects grew faster in Germany, up by 12 per cent, and Hubert Barth, chief executive of EY in Germany, is confident that the UK will fall back next year.
Speaking to German newspaper Sueddeutsche Zeitung, Barth said: "There is a great deal of evidence that Germany will replace Great Britain as the top place for investment into Europe this year."
He said that it is only in the past few months that it has become obvious that Britain is pushing for a hard Brexit, and companies will only now start responding to this political agenda.