An overseas subsidiary setup in the UK is a UK limited company whose shares are wholly owned by the overseas parent company.
The UK subsidiary is a separate legal entity, governed under UK law. The UK subsidiary is separate from its parent company owner.
The minimum share-capital requirement can be as low as £1. This differs in other neighbouring European countries where the requirements are much more rigorous and costly.
Establishing any sort of UK operation, be that a subsidiary or a branch can be costly and time consuming long term, unless the appropriate planning steps are not undertaken and professional advice not sought throughout the process.