Amazon’s $54B UK Gamble Pays Off—PM Declares It ‘The Best Place to Do Business’
Amazon just dropped a £54 billion mic in the UK—and the Prime Minister’s cheering like it’s free money. Here’s why the tech giant’s latest power move has Westminster spinning.
The Silicon Crown Jewel
Forget tea and crumpets—Britain’s new status symbol is a glowing ‘Amazon’s hiring’ sign. With a $54B investment war chest, Bezos’ empire is turning the UK into its European launchpad. No word on if that includes fixing their algorithm’s union-busting tendencies.
Downing Street’s Victory Lap
The PM’s suddenly channeling a startup founder: ‘Best business ecosystem!’ he boasts—while quietly ignoring that 40% of UK retail spaces now collect dust. But hey, at least the drones will deliver your unemployment check.
One cynical hedge fund manager muttered: ‘Finally, a British institution Americans will overpay for.’ Touché.
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UK Prime Minister Keir Starmer hailed Amazon’s decision, stating, “Amazon’s £40 billion investment adds another major win to Britain’s basket and is a massive vote of confidence in the UK as the best place to do business.” The enhanced commitment is expected to boost Britain’s gross domestic product (GDP) by an estimated additional £38 billion, create thousands of jobs, and help revolutionize its digital economy.
Amazon’s Multibillion-Pound UK Push
Amazon aims to build four advanced fulfilment centers and new delivery stations across the country, as well as expand its existing network of over 100 operations buildings in the UK. Additionally, the funds will be used to improve Amazon’s transport infrastructure, add two new buildings at its corporate headquarters in London, and support the renovation of the Bray Film Studios in Berkshire, which was acquired last year.
The investment will also create 2,000 jobs at a previously announced warehouse in Hull and another 2,000 jobs at a site in Northampton. Moreover, it will create additional positions at new sites in the East Midlands and at delivery stations across the country. Notably, Amazon already employs over 75,000 staff in the UK.
Unfortunately, Amazon is being investigated by the UK Food Regulator for late payments to food suppliers. If found guilty, the e-commerce retailer could be fined up to 1% of its annual grocery turnover in the UK.
Is AMZN Stock a Long-Term Buy?
Wall Street remains highly optimistic about Amazon’s long-term stock trajectory. On TipRanks, AMZN stock has a Strong Buy consensus rating based on 43 Buys and one Hold rating. Also, the average Amazon price target of $241.49 implies 15.8% upside potential from current levels. Year-to-date, AMZN stock has lost nearly 5%.
