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Chinese investor to pump 1 billion pounds into Sheffield over 60 years

By Cecily Liu (chinadaily.com.cn) Updated: 2016-07-21 22:39

 

Chinese investor to pump 1 billion pounds into Sheffield over 60 years

Meadow Hall, a department store in Central Sheffield is seen in this photo. China's Sichuan Guodong Construction Company is to invest over 1 billion pounds over the next 60 years in the northern English city of Sheffield, the biggest-ever Chinese investment into the UK outside London. [Photo/VCG]

China's Sichuan Guodong Construction Company is to invest over 1 billion pounds over the next 60 years in the northern English city of Sheffield, the biggest-ever Chinese investment into the UK outside London.

The news was announced on Thursday, during British chancellor Philip Hammond's visit to Chengdu, the sister city of Sheffield. The chancellor is attending the G20 finance ministers' meeting in Chengdu this week.

The initial investment will be 220 million pounds over the next three years. Sheffield City Council said the exact projects that the investment will fund are yet to be determined, but Sky News reported that the project involve a major hotel development, student accommodations, retail and leisure space.

Wang Chunming, Sichuan Guodong's chairman, has visited Sheffield a number of times and previously said it has "real growth potential". Wang's team has been in negotiation with Sheffield City Council about this deal for the past 18 months.

"Sheffield really does stand out amongst all UK cities as an outstanding business investment. This agreement illustrates our confidence in Sheffield as a city going from strength to strength, with real growth potential. We are looking forward to being a part of this over the coming decades," Wang said in a statement issued by Sheffield City Council.

The deal came amidst the UK's uncertain investment environment created by Brexit, and is being touted as an example to illustrate that China-UK business relations still hold strong.

"At a time of unprecedented uncertainty and turmoil on the national political scene, we have taken the bull by the horns and led by example here in Sheffield. We have the skills and the connections to drive economic growth in our city," said Leigh Bramall, Deputy Leader of Sheffield City Council.

Bramall said this deal will create hundreds, if not thousands, of additional jobs for the people of Sheffield. The investment comes from China, but the workforce on these projects will be British, Bramall said.

Julie Dore, Leader of Sheffield City Council, said the 60-year commitment "secures a stream of investment into our city for the next generation, and means a whole range of projects become viable because of the long-term nature of the relationship," said Dore.

The city of Sheffield is well known for its advanced manufacturing sector, and has already developed significant ties with China. The University of Sheffield is a popular institution for Chinese students studying in the UK, and it hosts a Confucius Institute, allowing British students to learn Mandrin.

In addition, the Nuclear Advanced Manufacturing Research Centre, led by the University of Sheffield and the University of Manchester, is in discussion with several Chinese nuclear companies to help them localize their nuclear technology in the UK.

Sir Keith Burnett, Vice-Chancellor of University of Sheffield, said that the deal with Sichuan Guodong Construction Group demonstrates the city of Sheffield is consistently open to long term partnerships with China.

"This announcement reflects important relationships built with Chinese graduates of our university, with local and Chinese companies and between our two nations," Burnett said.

"I have seen for myself the warm welcome extended to China in this city, and that the desire to work together as partners in the interests of the citizens of both our nations is mutual and sincere. I congratulate all those in the UK and China who have worked so hard to make this possible," Burnett said.

To contact the reporter: cecily.liu@mail.chinadailyuk.com

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