STERLING ASSETS 7 BRITISH INVESTMENT CREATING U.S. JOBS

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1 STERLING ASSETS 7 BRITISH INVESTMENT CREATING U.S. JOBS

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3 Contents Foreword 4 Executive summary 5 U.S. overview 9 British business in the United States 13 State overview 14 Top states 16

4 4 Sterling assets 7: British investment creating U.S. jobs Foreword In this, the seventh edition of Sterling assets, the CBI is pleased to report once again that the United Kingdom remains the single largest foreign investor in the United States. British business accounts for hundreds of billions of dollars in investment and the creation of hundreds of thousands of American jobs. Sterling assets 7 highlights the importance and strength of these links, and as both the UK and U.S. continue to emerge from a decade marred by a multitude of financial crises, the preservation of this relationship and the perpetuation of mutual growth is imperative to both of our futures. This theme of mutual growth is essential, and it is in the long-awaited Transatlantic Trade and Investment Partnership (TTIP) where we hope to secure a unique opportunity to broaden an already important partnership. Above all, the promise of TTIP and the figures represented here in Sterling assets demonstrate a commitment to prosperity and job creation for the U.S., the UK and the E.U. through investment and trade. Negotiations for the deal show signs of significant progress, although it is important to pursue TTIP with vigour if we re to maintain the significant diplomatic, political, economic and cultural interconnectedness of the U.S. and UK. In this report you ll see that British business funds jobs and innovation across all sectors and markets in the United States. Moreover, the report details that U.S. exports to the UK remain strong, particularly in services and with respect to goods exports. All this to say that the role of British businesses in the United States is one that is mutually beneficial. The CBI is dedicated to promote the interests of British businesses throughout the United States by ensuring opportunities for growth and expansion exist and writ large, are dedicated to ensure that trade and investment from British businesses remains crucial in our global economy. Thankyou, and we hope you find this report informative and useful. Simon Moore CBI international director

5 Sterling assets 7: British investment creating U.S. jobs 5 Executive summary U.S. subsidiaries of British firms play a vital role in the American economy. Many larger British companies investing in America are well-known names the likes of BT, GlaxoSmithKline, HSBC, Reed Elsevier, Rio Tinto, and Unilever. Together with many smaller companies, they are all contributing to the economic wellbeing of the United States. British companies are attracted to America for several reasons. They appreciate the size of the market, a culture that fosters innovation and risk-taking, the deep capital markets, and the pool of talented workers. A common language as well as similar legal systems and cultural norms make it easy for Brits and Americans to work together. Britain is the largest foreign investor in America. As of year-end 2013, the UK had invested $519bn here, representing 19% of the $2.8trn of foreign direct investment (FDI) in America. British investment is substantially higher than that of other large foreign investors, namely Japan, the Netherlands, Canada, and France (Exhibit 1). By comparison, investments from India and China are tiny: they don t come close to reaching 1% of all FDI in the United States, for a combined total of $15bn by the end of Exhibit 1 Foreign direct investment in the United States, 2013 (historical cost basis) Total $2.8trn 1 United Kingdom $519bn 2 Japan $342bn 3 Netherlands $274bn 4 Canada $238bn 5 France $226bn Exhibit 2 British investment in the U.S. by sector, 2013 (historical cost basis) Other industries $216bn Professional, scientific & technical services $16.6bn Wholesale trade $24.5bn Manufacturing $168.1bn Finance and insurance $66.6bn Information $26.9bn With cumulative investment of nearly $170bn through 2013, Britain ranked as the largest foreign investor in U.S. manufacturing, ahead of the Netherlands, Switzerland, and Japan. The UK also has invested heavily in other major sectors of the American economy, including finance and insurance, information, and wholesale trade (Exhibit 2). British investment is spread across the entire United States. Every single state in America has workers in jobs that are created and sustained by British firms. The UK tops the list when compared to other foreign investors: there are 5.8 million insourced jobs in America (ie jobs created by U.S. subsidiaries of foreign-owned companies), and of these, 17% are supported by British investment.

6 6 Sterling assets 7: British investment creating U.S. jobs Exhibit 3 Employment generated by selected industry of British affiliates, 2012 Industry British affiliates All foreign affiliates British share of all foreign affiliates employment total All industries 962,900 5,771,200 17% Other industries * 403,400 1,535,000 26% Manufacturing 258,300 2,173,800 12% Information 71, ,000 30% Retail trade 70, ,300 14% Finance and insurance 62, ,300 16% Professional, scientific, 36, ,800 12% & technical services Wholesale trade 41, ,100 7% Real estate and rental 19,600 50,000 39% & leasing * Other industries include transportation and warehousing, accommodation and food services, and administration, support, and waste management. In 2012, the latest year of available data from the U.S. government, British companies supported 962,900 jobs nationwide, employing far more Americans than either Japanese or German firms (Exhibit 4). And by including minority-owned British affiliates (with at least 10% British ownership), British companies employed nearly 1.1 million Americans. Exhibit 4 Insourced jobs supported by foreign affiliates, 2012 United Kingdom 962,900 Of all British-affiliated jobs in the United States, about one of four in 2012 was in manufacturing (Exhibit 3). Taken together, transportation equipment, chemicals, and primary and fabricated metals accounted for more than half of roughly 145,000 skilled American manufacturing jobs in 2012 (Exhibit 5). Within chemicals, most of the jobs were in the highly compensated pharmaceuticals and medicines sector. Besides strong investment in U.S. manufacturing, British firms also support a significant number of American jobs in other sectors, such as information, retail trade, and finance and insurance. These sectors all employed more than 60,000 Americans in 2012 (Exhibit 3). Japan 718,900 Germany 620,200

7 Sterling assets 7: British investment creating U.S. jobs 7 Exhibit 5 U.S. manufacturing jobs supported by British affiliates, 2012 (number of jobs) Exhibit 7 U.S. goods & services export destinations, 2014 Other manufacturing 83,800 Transportation equipment 59,600 China $167bn UK $118bn Machinery 11,700 Computers and electronic products 19,600 Chemicals 42,400 Primary and fabricated metals 42,200 Japan Germany Brazil $76bn $70bn $115bn British investment is high-end and high-paying Several indicators show investments by British business strengthen the American economy. For example, British companies accounted for a payroll totaling nearly $75bn in 2012 (Exhibit 6). The wages and benefits of an American worker employed by a British firm averaged $77,300 in 2012, which was significantly higher than average compensation of $59,600 that year for all U.S. private-sector workers. British subsidiaries are essential to all kinds of research and development (R&D) activities in the United States. Of the $48bn in R&D performed by all foreign affiliates, British subsidiaries represented 16%, Exhibit 6 Top countries in compensation paid by foreign affiliates, 2012 United Kingdom $74.4bn spending $6.8bn in the United States in Through their R&D investments, British companies supported 25,700 skilled jobs nationwide in 2012, which have helped to spur the discovery of new products and processes, generate economic growth, and improve the overall quality of life. Pharmaceuticals and medicines accounted for nearly two thirds of R&D spending by British firms. Trade has long cemented the business relationship between our two countries. British firms shipped $52bn in goods from their U.S. operations in 2012, amounting to 16% of all foreign-affiliated merchandise exports from the United States to the world. And the UK is, of course, a major destination for U.S. goods and services exports; today, Britain ranks as the fourth largest export market of the United States, behind Canada, Mexico, and China (Exhibit 7). As the largest market for U.S. services exports and the leading purchaser of services sold through U.S. affiliates abroad by far, the United Kingdom is a premier services market for the United States. Japan $57.4bn Germany $55.1bn Switzerland $46.8bn France $42.6bn

8 8 Sterling assets 7: British investment creating U.S. jobs A note on sources and statistics Sterling assets 7: British investment creating U.S. jobs looks at the economic impact of British firms on the American economy. This overview offers the most current U.S. government statistics on the business activities of British companies in the United States at the time the snapshot was prepared for the Confederation of British Industry. National and state statistics refer only to the business activities of U.S. subsidiaries of British companies that are unambiguously under British control (that is, affiliates that are more than 50% owned by British direct investors, known as majority-owned affiliates), unless otherwise noted. These figures are a conservative measure of the overall impact of foreign direct investment by majority-owned British affiliates on the U.S. economy. Most important, they do not capture the full economic impact of investments by these firms, but rather serve as a floor. National export statistics cover goods and services, while state data are limited to merchandise trade only. National and state export statistics were compiled from the U.S. Department of Commerce s International Trade Administration for goods and the Bureau of Economic Analysis for services. Rankings and percentages are based on exact data. The United Kingdom ranks first in American jobs supported by foreign firms... and British affiliates in America rank first in total compensation paid to their U.S. workers.

9 Sterling assets 7: British investment creating U.S. jobs 9 US overview Sterling assets 7: British investment creating U.S. jobs measures the economic contribution of British firms in the United States (those with at least 50% British ownership) based on data from the U.S. government. This snapshot offers clear and compelling evidence of the high level of engagement by British affiliates operating throughout the United States. British affiliates create U.S. jobs, employing 962,900 Americans. British affiliates invest heavily in U.S. manufacturing, supporting close to 260,000 American jobs. British affiliates pay an average compensation of $77,300 per American worker, outperforming the average wage and benefits per worker at U.S. firms. British affiliates contribute to the U.S. gross domestic product, generating $135bn in value added. British affiliates support R&D activities in the United States, spending $6.8bn. British affiliates account for $52bn in U.S. goods exports to the world, shipping 41% back to their parent companies. U.S. services sales through affiliates in the United Kingdom totaled $195bn, making it the largest market for U.S. services in the world. U.S. value added from british companies British firms strengthen the American economy and represent a substantial economic presence in the United States. British companies contributed $135bn in value added to the U.S. economy in 2012, accounting for 17% of value added from all foreign affiliates The United Kingdom represented the largest share of value added from foreign affiliates, eclipsing Japanese, German, Swiss, and French companies in American jobs supported by british companies British affiliates support nearly one million jobs across the United States. U.S. subsidiaries of British firms employed 962,900 Americans in 2012 Employment from British companies represented 17% of the 5.8 million jobs supported by all foreign affiliates in the United States in Top countries in value added by foreign affiliates 2012 Total $774bn 1 United Kingdom $135bn 2 Japan $98bn 3 Germany $88bn 4 Switzerland $72bn 5 France $67bn Top countries in employment supported by foreign affiliates, 2012 Total 5,771,200 1 United Kingdom 962,900 2 Japan 718,900 3 Germany 620,200 4 Canada 555,600 5 France 534,400 * Value added measures the economic contribution of foreign affiliates from the goods and services they sell in the United States

10 10 Sterling assets 7: British investment creating U.S. jobs The United Kingdom ranked first in American jobs supported by foreign firms in 2012, surpassing Japan, Germany, Canada, and France. Adding British minority-owned companies (those with British ownership of at least 10% but less than 50%) raises the number of American jobs from British firms to 1,059,300 in American manufacturing jobs supported by British companies U.S. manufacturing reaps enormous benefits from foreign firms, which employ about 2.2 million American manufacturing workers each year. British firms accounted for 258,300 American manufacturing jobs in 2012 British companies made up 12% of total foreignaffiliated manufacturing jobs in 2012 British subsidiaries ranked third in manufacturing employment, behind Japanese and German companies in 2012 Japanese, German, British, Swiss, and French firms accounted for almost 60% of all foreign-affiliated manufacturing jobs in Compensation by U.S. subsidiaries of British companies British affiliates make a powerful contribution to the payroll of the U.S. workforce. Compensation from all British firms reached $74.4bn in 2012, constituting 16% of the $456bn in total foreign-affiliated compensation British affiliates ranked first in total compensation paid to their U.S. workers, ahead of Japanese, German, Swiss, and French companies in 2012 Average employee compensation (wages and benefits) at British firms was $77,300 in R&D expenditures by British companies British firms bolster America s R&D base through large expenditures in the United States. British companies spent $6.8bn in the U.S. on R&D in 2012, representing 16% of the $48bn in U.S. R&D performed by all foreign affiliates Top countries in manufacturing employment supported by foreign affiliates, 2012 Total 2,173,800 1 Japan 326,300 2 Germany 293,300 3 United Kingdom 258,300 4 Switzerland 191,600 5 France 186,700 Top countries in compensation paid by foreign affiliates, 2012 Total $455.5bn 1 United Kingdom $74.4bn 2 Japan $57.4bn 3 Germany $55.1bn 4 Switzerland $46.8bn 5 France $42.6bn Top countries in R&D performed by foreign affiliates, 2012 Total $48.0bn 1 Switzerland $9.4bn 2 United Kingdom $6.8bn 3 France $6.5bn 4 Japan $6.2bn 5 Germany $5.8bn British firms ranked second in R&D expenditures, behind only Swiss firms but ahead of French, Japanese, and German affiliates in 2012 Pharmaceuticals and medicines accounted for some two-thirds of R&D spending by British firms at $4.4bn in 2012 British firms supported 25,700 R&D-related jobs in the United States in 2012, second only to U.S. R&D jobs backed by German companies.

11 Sterling assets 7: British investment creating U.S. jobs 11 Exports from the United States to the United Kingdom British companies in the United States produce for the American market and contribute to U.S. exports that bolster U.S. trade. The United Kingdom is the fourth-largest export market worldwide for U.S. goods and services. American firms ship a variety of goods to the United Kingdom, ranging from transportation equipment, chemicals, and machinery to computer and electronic products. Every year, U.S. companies also export billions of dollars in services to the United Kingdom, which include financial services and business, professional, and technical services. U.S. goods and services exports to the United Kingdom totaled $118bn in 2014 U.S. exports of goods and services to the United Kingdom represented 5% of the $2.3trn in global exports from the United States in 2014 The United States exported fewer goods and services to the United Kingdom than to China in Still, U.S. NAFTA partners dwarfed even those sales, with combined U.S. exports to Canada and Mexico of nearly $650bn in 2014 Within the European Union, more U.S. goods and services were sold to the United Kingdom than to the other 27 nations in 2014, ahead of Germany and the Netherlands by a wide margin U.S. goods exports to the United Kingdom totaled $54bn in 2014 Transportation equipment, chemicals, computer and electronic products, and primary metals made up more than half of all exports shipped from the United States to the United Kingdom in British firms accounted for 16% of the $334bn in goods exported by all foreign firms in the United States in That year, only Japanese affiliates exported more at $68bn. British firms in the United States shipped $21bn, or 41% of their exports back to their parent companies in the United Kingdom in Top countries in R&D jobs supported by foreign affiliates, 2012 Total 170,400 1 Germany 26,900 2 United Kingdom 24,700 3 Switzerland 24,500 4 France 20,100 5 Japan 19,300 Selected countries by U.S. goods & services exports, 2014 Total $2.3trn 1 Canada $376bn 2 Mexico $270bn 3 China $167bn 4 United Kingdom $118bn 5 Japan $115bn 6 Germany $78bn 7 Brazil $70bn 8 South Korea $67bn 9 Netherlands $61bn 10 Hong Kong $52bn Top countries in goods exports by foreign affiliates, 2012 Exports % to parent group Total $334bn 49% 1 Japan $68bn 48% 2 United Kingdom $52bn 41% 3 Germany $46bn 61% 4 Italy $25bn n/a 5 France $23bn 49%

12 12 Sterling assets 7: British investment creating U.S. jobs U.S. services exports to the United Kingdom At more than $63bn in 2014, the United States sold more services to the United Kingdom than manufactured goods. Representing 9% of U.S. services exports worldwide last year, the United Kingdom was the largest market for U.S. services, surpassing Canada, which previously was the top-ranked U.S. services export market, and ahead of Japan, China, and Mexico. The United States also imported more services from the United Kingdom ($50bn in 2014) than from any other country. Detailed industry-level services exports for 2014 will be released later this year. In 2013, financial services ranked first in U.S. services exports, followed by travel services and charges for use of intellectual property. Together, these three leading sectors accounted for more than half of all U.S. services exports to the United Kingdom. Services exports consist of maintenance and repair, transport, insurance, financial, charges for intellectual property, telecommunications, computers and information, government and goods services, and other business services (including R&D, professional and management consulting, and technical, trade-related, and other business services). These categories differ from previous editions of Sterling assets because of a restructuring of services exports by the Bureau of Economic Analysis. U.S. services sales through majority-owned affiliates in the United Kingdom Even though U.S. services exports to the United Kingdom demonstrate the strong economic ties between our two countries, most U.S. services are not captured as exports. Instead, a vast majority of U.S. services are actually sold through majority-owned U.S. affiliates on the ground in Britain, since proximity is a critical factor when selling services abroad. By far, the United States sells more services through its firms in the United Kingdom than in any other country. These services sales totaled $195bn in 2012, considerably higher than sales to second-ranked Canada and more than twice that of next-ranked Ireland. Selected countries in U.S. services exports, 2014 Total $709.4bn 1 United Kingdom $63.2bn 2 Canada $62.9bn 3 Japan $47.0bn 4 China $41.5bn 5 Mexico $29.7bn Top countries in U.S. services sold abroad through majority-owned U.S. affiliates, 2012 Total $1.3trn 1 United Kingdom $195.0bn 2 Canada $127.0bn 3 Ireland $82.0bn 4 Japan $78.0n 5 Germany $64.0bn In fact, services sales through American affiliates in the UK represented 15% of all services sold through U.S. affiliates operating abroad in Finance and insurance services ($55bn), professional, scientific, and technical services ($30bn), and information services ($26bn) topped the list of industry sectors for services sales through majority-owned U.S. affiliates in the United Kingdom in Second only to Germany, the United States purchased more services from British affiliates than from any other country in 2012 a testament to the strong economic relationship between the United States and the United Kingdom.

13 Sterling assets 7: British investment creating U.S. jobs 13 British business in the United States Economic benefits of British-owned affiliates Total jobs 962,900 British affiliates account for 17% of the 5.8 million jobs created by all foreign affiliates in the U.S. Exhibit 8 Employment supported by foreign affiliates, 2012 Exhibit 10 U.S. goods and services export destinations, 2014 United Kingdom 962,900 China $167bn Japan 718,900 UK $118bn Germany 620,200 Japan $115bn Canada 555,600 Germany $78bn France 534,400 Brazil $70bn 5% of U.S. exports are sold to the UK Exhibit 9 Top goods exports from the U.S. to the UK, by industry (2014) Transportation equipment $12.1bn Chemicals $6.4bn Computer and electronic products $5.5bn Primary metals $4.5bn Machinery $4.0bn Total goods exports to the UK = $54bn * U.S. goods and services exports are shown on a balance of payments basis whereas goods exports are shown on a census basis. Sources: U.S. Bureau of Economic Analysis and International Trade Administration

14 14 Sterling assets 7: British investment creating U.S. jobs State overview British companies create jobs in every U.S. state and the District of Columbia. California leads in employment supported by British companies, followed by Texas, New York, Pennsylvania, and Illinois. New York leads in goods exports to the United Kingdom State employment by British companies California ranked first nationwide with 86,800 jobs supported by British companies in 2012 Texas, New York, Pennsylvania, and Illinois rounded out the top five states in employment from British firms in 2012 British companies employed more than 30,000 workers in five additional states in 2012, namely Florida, Massachusetts, Ohio, New Jersey, and Indiana British firms also represented more than 30% of all insourced jobs in the District of Columbia, Rhode Island, Delaware, Alaska, and Montana in State goods exports to the United Kingdom New York ranked first nationwide in exports to the United Kingdom, shipping more than $6bn in goods in 2014 California, Texas, Washington, and Massachusetts completed the list of the top five states in exports to the United Kingdom in 2014 Additionally, Kentucky and New Jersey each shipped more than $2bn in goods to the United Kingdom in Eleven other states exported more than $1bn in 2014 to the United Kingdom. Transportation equipment exports to the UK The United States exported $12.1bn in transportation equipment to the United Kingdom in 2014, making it the largest export sector. Transportation equipment was also one of the fastest growing industries, surging 61% between 2009 and 2014, or by nearly $5bn. For three states, transportation equipment was not only the leading export industry, it was the driving industry in exports to the United Kingdom. Transportationrelated exports to the United Kingdom from Washington, Kentucky, and South Carolina accounted for more than 70% of each state s exports. These three states also more than doubled their sales of transportation equipment to the UK over the past five years. Commercial aircraft and aircraft parts shipped from Boeing s large manufacturing facilities in Washington state represented a sizable share of the more than $2bn in transportation equipment exported from Washington to the United Kingdom in In Kentucky, a considerable portion of transportation equipment exports to the United Kingdom are tied closely to the state s auto assembly plants. At $1.4bn in 2014, South Carolina was also a major exporter of transportation equipment to the United Kingdom, partly because of the operations of global manufacturers such as BMW and Boeing that manufacture and assemble products in South Carolina that are sold around the world.

15 Sterling assets 7: British investment creating U.S. jobs 15 Top states in jobs supported by British companies, 2012 Total 962,900 1 California 86,800 2 Texas 86,500 3 New York 85,500 4 Pennsylvania 55,000 5 Illinois 50,500 Top states in US goods exports to the UK, 2014 Total $53.9bn 1 New York $6.2bn 2 California $5.0bn 3 Texas $4.5bn 4 Washington $3.0bn 5 Massachusetts $2.3bn Top states in US transportation equipment exports to the UK, 2014 Total % of all value exports Total $12.1bn 23% 1 Washington $2.1bn 71% 2 Kentucky $1.7bn 76% 3 South Carolina $1.4bn 77% 4 Texas $705m 27% 5 Georgia $676m 42%

16 16 Sterling assets 7: British investment creating U.S. jobs Top states Employment by U.S. affiliates of British-owned companies: the top 15 states 2012 Employment 1 California 86,800 2 Texas 86,500 3 New York 85,500 4 Pennsylvania 55,000 5 Illinois 50,500 6 Florida 43,600 7 Massachusetts 37,600 8 Ohio 36,800 9 New Jersey 36, Indiana 30, North Carolina 27, Georgia 24, Virginia 24, Michigan 21, Connecticut 17,800 Top 15 states in employment supported by UK companies 16 Maryland 17, Tennessee 17, Minnesota 16, Missouri 16, Louisiana 16, Washington 14, Arizona 13, Colorado 12, South Carolina 11, Wisconsin 11, Iowa 10, New Hampshire 10, Rhode Island 9, District of Columbia 9, Alabama 9, Delaware 8, Kentucky 8, Oklahoma 7, Utah 7, Kansas 7, Oregon 6, West Virginia 6, Mississippi 5, Nevada 5, Alaska 4, Arkansas 4, Nebraska 4, Maine 3, New Mexico 3, Wyoming 2, Hawaii 2, Montana 2, Idaho 2, South Dakota 1, Vermont 1, North Dakota 1,200 Note: Employment statistics represent data for majority-owned affiliates. Tied states receive the same ranking. Source: US Bureau of Economic Analysis

17 Sterling assets 7: British investment creating U.S. jobs 17 U.S. merchandise exports to the UK: the top 15 states 2014 Exports Top 15 states by U.S. merchandise exports to the UK 1 New York $6.2bn 2 California $5.0bn 3 Texas $4.5bn 4 Washington $3.0bn 5 Massachusetts $2.3bn 6 Kentucky $2.3bn 7 New Jersey $2.1bn 8 Pennsylvania $1.9bn 9 South Carolina $1.9bn 10 Ohio $1.8bn 11 Georgia $1.6bn 12 Illinois $1.6bn 13 Florida $1.5 B 14 Utah $1.4bn 15 Louisiana $1.2bn 16 Indiana $1.2bn 17 North Carolina $1.0bn 18 Arizona $1.0bn 19 Virginia $1.0bn 20 Tennessee $926m 21 Wisconsin $848m 22 Michigan $746m 23 Connecticut $719m 24 Alabama $604m 25 Minnesota $529m 26 Kansas $520m 27 Delaware $488m 28 Maryland $487m 29 Iowa $385m 30 Missouri $357m 31 West Virginia $327m 32 Oregon $275m 33 Colorado $223m 34 Mississippi $216m 35 New Hampshire $201m 36 Arkansas $171m 37 Nevada $170m 38 Idaho $126m 39 Oklahoma $115m 40 Vermont $75m 41 Rhode Island $64m 42 Maine $59m 43 Wyoming $45m 44 Nebraska $42m 45 Alaska $40m 46 New Mexico $30m 47 District of Columbia $23m 48 Montana $22m 49 North Dakota $21m 50 South Dakota $10m 51 Hawaii $3m Source: International Trade Administration

18 18 Sterling assets 7: British investment creating U.S. jobs Concentration of employment supported by UK companies: the top 15 states 2012 Employment concentration (%) Top 15 states in employment concentgration by UK companies as a share of total foreign-affiliated employment 1 District of Columbia Rhode Island Delaware Alaska Montana Louisiana New Hampshire Wyoming West Virginia New York Iowa Indiana Utah Pennsylvania South Dakota 19.8 Concentration of exports to the UK: the top 15 states 2014 Exports concentration (%) Top 15 states by concentration of exports sold to the UK 1 Utah 11.5% 2 Delaware 9.2% 3 Massachusetts 8.6% 4 Kentucky 8.3% 5 New York 7.2% 6 South Carolina 6.3% 7 New Jersey 5.7% 8 Virginia 5.1% 9 Arizona 4.8% 10 Pennsylvania 4.7% 11 New Hampshire 4.5% 12 Connecticut 4.5% 13 West Virginia 4.4% 14 Kansas 4.3% 15 Georgia 4.2% Source: US Bureau of Economic Analysis and International Trade Administration

19 Sterling assets 7: British investment creating U.S. jobs 19 About Content First LLC Content First, a full-service public policy research firm based in Washington, DC, prepared this report for the Confederation of British Industry. Content First provides trade associations, businesses, law firms, consulting firms, and the public affairs community with the data they need to make strategic decisions, build their reputations, and advocate for policy change more effectively. In today s competitive, information-driven economy, having the right content is key to success. At Content First, we help our clients reach their goals with public policy data, statistics, and research that are accurate, timely and targeted. But we know that simply providing data isn t enough. To be persuasive, information needs to be understandable. That s why Content First makes the numbers meaningful and relevant, in reports that combine thoughtful analysis with easy-to-grasp presentation and clear calls to action. With research reports from Content First, our clients: Develop policies to support their advocacy goals Make informed business decisions Improve their competitive advantage and strengthen their reputations Satisfy their customers Save time and money. Our clients include prominent national and international trade associations such as the U.S. Chamber of Commerce, the U.S.-Japan Business Council, the Embassy of Switzerland, the American Coatings Association, and the Organization for International Investment. The Content First team has more than 50 years of experience in presenting industry research and public policy issues to government officials, business leaders, and the press. For more information about Content First, or to work with us, please contact us at: Content First, LLC Washington, DC Phone: Fax: info@contentfirst.com About the CBI The Confederation of British Industry (CBI) is the UK s leading business organisation, speaking for some 240,000 businesses that together employ around a third of the private sector workforce. With offices across the UK as well as representation in Brussels, Washington, Beijing and Delhi the CBI communicates the British business voice around the world. About CBI Washington The Washington office opened in 2002 as the CBI s first office outside Europe, reflecting just how important the bilateral economic relationship is with the United States. The Washington office provides a base from which the CBI can promote members interest to a U.S. audience. We provide a range of services to member companies, whether in the UK, the U.S. or elsewhere, including: Information on the latest legislative, regulatory and economic developments in the U.S. Lobbying on issues of particular importance to our member companies Networking opportunities, to help those on both sides of the Atlantic understand how to increase the flow of transatlantic business.

20 For further information or a copy in large text format, please contact: John Dickerman CBI head of Washington office T: 001 (202) E: john.dickerman@cbi.org.uk July 2015 Copyright CBI 2015 The content may not be copied, distributed, reported or dealt with in whole or in part without prior consent of the CBI. CBI Our mission is to promote the conditions in which businesses of all sizes and sectors in the UK can compete and prosper for the benefit of all. To achieve this, we campaign in the UK, the EU and internationally for a competitive business landscape. Product code: