Reeves hit with another blow as AstraZeneca considering leaving the UK

The biopharmaceutical giant AstraZeneca is considering moving their stock listing from the London Stock Exchange to the US in another blow to the Chancellor.

The biopharmaceutical giant is the UK’s most valuable public lister company and has a market value of £157 billion which already has depositary receipts for America.

AstraZeneca has been investing tens of millions into the US and last year alone the company responsible for the Covid vaccine invested £39 billion into America.

The CEO Sir Pascal Soriot has said many times he is considering changing the listing for the company and in April he said they will increase investments into the US.

Sir Pascal warned that jobs will move to the US if Europe does not improve its incentives for new medicines.

AstraZeneca halted plans to invest £450 million to expand the flu vaccines plant in Liverpool as the government missed a deadline to confirm financial support.

The company also invested £36 million into a manufacturing plant in Ireland amid the Chancellor’s “discouraging” tax rate.

Hargreaves Lansdown analyst Susannah Streeter warned the government will be worried if they exit the UK and will be a major blow for Rachel Reeves.

Streeter warned, “At a time when the Government and regulators are laying out plans to make the City more attractive, if this move being mulled by AstraZeneca were to become a reality, it would be another big setback for London.

The more company boards are reported to be discussing such a strategy, the more likely it will be that other firms will embark on similar discussions to assess whether moving main listings could help boost valuations.”