Germany is a significant investor in the UK, providing the second largest source of direct foreign investment (DFI) into the UK in terms of both stock and the flow of such investments. This study investigates the quantitative and qualitative employment effects of German DFI into the UK in both home and host countries and sets out to answer questions such as how important traditional and embeddedness factors are as drivers of DFI into the UK, whether German DFI creates jobs in the UK, what types of jobs are associated with German DFI into the UK and whether German DFI leads to a loss of jobs and/or a loss of skilled jobs in Germany. The study concludes with an outline of policy implications.
