FDI does have benefits. It’s a relatively painless and cheap way to introduce new jobs, add financial value to the economy and introduce a healthy level of competition to discourage complacent stagnation in commerce and industry.
The conclusion drawn by those in the know was that Foreign investors were generally larger employers than British companies, paying better wages (around 15% higher) and achieving greater productivity (between 17 and 30% per man). Though the overall effect on unemployment was often not that marked, FDI companies had better employment practices, including increasing communication with its workers and reducing the power of Unions. They were also more likely to invest in R&D, but were less likely to interact with local firms.