How London can reclaim its spot as a global shipping capital
London was once a global leader in maritime and shipping, it still has unique advantages that can propel it back to number one, says Adrian Beciri
The vibrant activity in Canada and Canary Wharf, now bustling post-Covid, serve as a powerful reminder of London’s historic and ongoing prowess in financial and professional services. However, it is sometimes forgotten that beyond its legacy in finance, London once stood as the unrivalled leader in global maritime and shipping – to the extent that it shaped the world into what it is today. It is almost typical to assume that any sector once globally centred in the City has long been lost to other parts of the world. Perhaps it is for this reason that it is little appreciated that London still commands a formidable and resurgent presence in shipping.
Despite facing stiff competition from cities like Singapore and Shanghai over the past half century, which have primarily advanced their shipping sectors through its proximity to the Chinese industrial growth story, London retains unique advantages that can propel it back to number one in global shipping. This is because London has foundational strengths that make it a global centre for many professional services that, when brought together, make it a super centre for shipping. Global connectivity and financial infrastructure aside, London boasts an intricate network of global ship owners, commodity traders, maritime insurers, shipping bankers, brokers and leading professional advisors including lawyers and corporate specialists.
Nowhere matches London
From my personal experience as well, after spending years in physical shipping within the investment banking world and then establishing a shipping enterprise that has delivered millions of tonnes of essential commodities across the globe, requiring me to work in a multitude of jurisdictions, I can assert that nowhere else matches the comprehensive advantages London offers. This realisation led me to choose London for my company’s recent expansion, driven by the unmatched potential it presents for business and growth.
However, while London’s current attributes are formidable, there are strategic opportunities that could reclaim its position as the global shipping hub. According to the Singapore Shipping Association, London ranked the best city in the world in 2024 for maritime finance and law, yet it is fourteenth on the number of shipping companies headquartered there, so clearly there is room for improvement.
First, regulatory reforms are necessary to make the UK more attractive for ship registration and operations. Simplifying the legal and operational frameworks and introducing competitive incentives similar to those offered by other maritime centers, could transform the UK into the preferred destination for quality shipping operations.
The UK’s free ports initiative is also a compelling one but expanding the free zones to providing more incentives to service providers providing crew supply and management, cost centres, fleet servicing and corporate and business operations-related expertise, will make the UK – and London by proxy – an even bigger powerhouse. Given shipping is a truly global industry, the UK is well placed to benefit from evolving global economics and growth stories, including getting access, through its provision of liquidity to operators, to the global industrial revolutions happening around the world, including in Africa.
The UK is well placed to benefit from evolving global economics and growth stories, including getting access, through its provision of liquidity to operators, to the global industrial revolutions happening around the world, including in Africa
Additionally, leveraging the UK’s diplomatic strength, governance standards and commitment to the rule of law, to support shipping companies that choose to base their operations in London could replicate the supportive business environments seen in places like Dubai. Such strategic use of diplomacy could enhance London’s attractiveness as a shipping hub.
With a new national shipping strategy, targeted reforms and by capitalising on its existing strengths, London has the potential to surpass its historical peak in maritime influence and once again become the central node in the global shipping network. I for one would love to see my company be a part of it in the long term.
Adrian Beciri is CEO and founder of DUCAT Maritime