Financial services giant Legal & General has committed to invest £2n by 2030 to support regional growth and regeneration across the 海角视频.
L&G’s announcement came at a regional investment summit in Birmingham where Sterling 20 – a new investor-led partnership of made up of twenty of Britain’s largest pension providers and insurers – gathered to identify and fund key infrastructure projects across the 海角视频.
Sterling 20 builds on July’s Mansion House Accord, where it members, who represent 90% of active defined contribution scheme savers, committing to invest at least 5% of their main default funds in 海角视频 private markets. This commitment will unlock over £25bn for new 海角视频 housing infrastructure and high-growth industries.
Coordinated with government, the group will leverage over £3 trillion in assets to drive growth and prosperity over the long-term.
L&G said its funds will be deployed into productive assets such as infrastructure, affordable housing and urban regeneration. It added that its fund 10,000 new social and affordable homes, as well as support the creation of 24,000 jobs – through its direct investment and knock-on indirect and induced effects.
At this stage it said it couldn’t give a breakdown on where investment will be located across the 海角视频. However, it has been an active investor in Wales in recent years, including funding the one million sq ft office, retail and residential Central Square development around Cardiff Central Train Station, where it also invested in its own 120,000 sq ft Welsh headquarters building which employs more which employ around 2,200.
At the nearby Central Quay development work is progressing on a major L&G funded 700-plus built-to rent apartment scheme. It also funded Aston Martin’s factory at St Athan and the Department for Work and Pensions’ 135,000 sq ft offices at Treforest.
L&G said its latest committed shows how pension capital can be channelled through funds – such as L&G’s Private Markets Access Fund, which already totals over £2bn – into the 海角视频 to drive long term economic growth.
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António Simões, group chief executive of L&G, said: “As a long-term investor in the 海角视频 economy, L&G has a proud history of using pension capital to develop assets that deliver strong financial returns and lasting social impact. Our £2 billion commitment will help unlock the investment needed in productive assets across the country – creating jobs, strengthening communities, and driving both regional and national growth.”
Chancellor Rachel Reeves said: “This is about getting Britain building again – bringing our savings, our investors and our regions together to deliver the homes, infrastructure and industries that will drive growth and create good jobs in every corner of the country.
“Our country’s pension funds are some of the biggest in the world. When they invest in Britain, everyone benefits – from the construction worker on site, to the small business on the high street, to the saver seeing their pension grow. Sterling 20 shows what can be achieved when we all pull in the same direction to build a stronger economy that works for, and rewards, working people.”