The 2005 Transatlantic Business Survey of 140 senior executives in the US and the UK was conducted jointly by UK Trade & Investment and BritishAmerican Business Inc to explore trends and issues in the 'special relationship' between the US and UK. It found that the strength of the overall economy and the skilled workforce of both countries are still the main factors in driving investment and trade both ways across the Atlantic.

The strengthening of the relationship is reflected in figures published in UK Trade & Investment's annual investment report 2004/5, which showed that inward investment projects from the US to the UK totalled 464, 48 per cent up on 2003 creating 17,730 new jobs.

The survey did however highlight that competition from developing economies such as India and China and the burden of increasing regulation are seen as the two biggest threats to transatlantic business over the next three years.

Both sets of respondents in the survey identified availability of skilled staff, good transport links, and common language as the three most important factors in making the US and UK good business locations for each other, although the UK was ranked more highly than the US for workforce skills. With regard to the social and cultural aspects of doing business across the Atlantic, the survey showed that the UK is regarded as a more interesting place to live than the US, but the latter is seen as having better weather and transport systems.

• 89% of respondents rated the skills levels of the UK as either good or very good, compared to 74% saying the same about the US.
• 17% of respondents saying the UK is an easy place to recruit skilled staff, compared to 12% for the US.
• 25% of UK-based respondents had seen rapid growth in their organisations compared to 19% of US-based respondents.
• 76% of US-based respondents and 55% of UK-based respondents agreed with the statement that the UK has a compatible business environment with fewer regulations and restrictions than other EU countries.

Trade Minister Ian Pearson said: "The US is a hugely important trading partner for the UK and it is extremely encouraging that the perception as well as the reality shows that our business relationship is growing."

Peter Hunt, Managing Director, BritishAmerican Business Inc, commented: "As the leading transatlantic business development organisation dedicated to helping our 700 member companies grow their international business on both sides of the Atlantic, we think the results from this survey continue to underline the overwhelming importance of the unique trading partnership between Britain and the United States."