Beyond Brexit - Expanding to Germany

GTAI supports British and international companies to establish business operations in Germany.

Germany remains the UK's top destination for business in the EU, and the number of British companies setting up in Germany is increasing. Highly innovative, well-funded companies that scale and internationalize in fields like software, fintech and digital health are driving investments to Germany.

Gateway to Europe

Germany is by far Europe's largest economy in terms of both GDP and market size. Germany is also undergoing an incredible transformation driven by climate action, digitization and securing supply chains. Located right in the middle of the continent, Germany provides easy access to European markets in all directions. Incorporating a new business in Germany is easy and follows clearly-defined steps. These factors taken together are attracting an increasing number of British companies.

What you need to know when expanding your business to Germany

Content of this page

Join the Growing Number of British Companies in Germany
How to Set Up a Company in Germany
Entry Regulations to Germany for UK Citizens
FAQs: Beyond Brexit - Expanding to Germany

Join the Growing Number of British Companies in Germany

The number of British companies setting up in Germany increased by 20 percent to surpass China as a source of investment projects in 2022.

British companies are increasing their investments in the German market. Over the past decade the number of annual projects has more than doubled. In 2022 a total of 170 investment projects worth over EUR 750 million were committed to the German market, marking the second highest level of all time. Only 2019 surpassed this level, which was driven by companies de-risking for the post-Brexit business environment. Now the UK comes in third behind only the USA and Switzerland.

UK FDI Projects in Germany

170 FDI projects

from UK to Germany in 2022

> EUR 750 million

FDI project investments in 2022

British companies are setting up legal entities within the EU to continue seamless operations from inside and outside the EU legal framework. More British small and medium enterprises (SMEs) are setting up in Germany than ever before. Large companies tend to already have multinational structures in place, but GTAI assists companies of all sizes.

Recent investments

The largest investment in 2022 was by retail giant Frasers Group, which is setting up a hub in Bitburg to serve central Europe and investing EUR 300 million and hiring 800 employees at the site. Additionally, Huboo, another company in the e-commerce space, set up in Leipzig. British company Mura Technology is joining forces with US-based Dow in the field of chemicals recycling at their site near Leipzig. Proton Motor Fuel Cell as well as digital printing and branding studio THEMPC both chose the Munich area for their investments.

For details on recent trends in foreign direct investment, visit GTAI's FDI Reports website.

Add to dossier

How to Set Up a Company in Germany

A subsidiary is a popular option for establishing a business in Germany. UK companies can easily incorporate a GmbH in Germany.

The German limited liability company (GmbH) is the most popular company form for a subsidiary. It requires a minimum share capital of EUR 25,000. The GmbH requires a German address and a local representative on site in Germany. The GmbH offers limited liability and high flexibility.

For more details on how to set up a GmbH in Germany, please refer to the company set up chapter in our Investment Guide to Germany.

Add to dossier

Entry Regulations to Germany for UK Citizens

British citizens can in general visit Germany for a short-term stay without a visa. Business visitors and company executives may benefit from this exemption alike.

New visa regulations

With the United Kingdom leaving the European Union, UK citizens no longer benefit from free movement to work and stay within the EU. This means that UK citizens moving to Germany will be subject to German national immigration rules. British citizens moving to Germany require a residence permit to live and work in Germany.

Visa exemption rules

British citizens do not require a visa to enter Germany for short-term stays (up to 90 days in any 180-day period), unless an economic ativity is being pursued. Specific professional activities are however exempted from a visa requirement. For example, business travelers and executives may be exempt from the visa requirement under certain conditions.

UK citizens can apply for a residence permit on site in Germany. Requirements depend on the person’s status as employed or self-employed. For more details please refer to our Investment Guide to Germany chapter on entry and residence.

For UK-specific residency requirements please refer to the dedicated website published by the German Missions in the UK.

Add to dossier

FAQs: Beyond Brexit - Expanding to Germany

Germany remains one of the most important business locations for UK companies setting up business operations abroad and the trend continues to be positive. Here we provide answers to the most important questions.

How can a foreign company set up business operations in Germany?

Do tax rates vary locally for companies in Germany?

What employment models are available in Germany?

Who needs a visa or a residence permit?

Does Germany offer grants for investments?

Does Germany offer grants for R&D activities?

Add to dossier