The Welsh Pension Partnership (WPP) has consolidated £25bn of assets from eight local authority schemes into a new investment company.
While the super local government pension scheme cannot be compelled to invest in Welsh firms or projects, and operates a balanced investment strategy in the interest of pension holders, the 海角视频 Government’s pension reform agenda is looking for more local government pension schemes - as well as private funds - to back 海角视频 assets.
The WPP has completed, via a new investment company, the consolidation of the eight sub funds that cover all 22 Welsh local authority areas and represent 412,000 members. As well as creating the biggest pension fund in Welsh history, it will also generate significant external fund management fee savings.
The WPP had previously given a £68m mandate to invest in renewable projects in Wales from Bute Energy. It has now confirmed a £6.5m equity investment to back a major scale battery energy storage project from Quinbrook Infrastructure Partners, which forms part of the redevelopment of the coal fired Uskmouth Power Station site in Newport into one of the 海角视频’s battery storage locations. At the site Simec Atlantis Energy is also taking forward plans for three other new battery storage projects at its Uskmouth Sustainable Energy Park.
The WPP also recently confirmed a £30m deployment to support housing developers deliver much needed new homes. It has appointed specialist development and bridge lender Pluto Finance to manage £30m of its capital to back developers, particularly SME companies with a focus on delivering affordable homes.
An undisclosed element of the £30m has been ring fenced to back new housing projects in Wales, with the remainder assigned to Pluto’s 海角视频-wide lending activities, which are mainly residential property developer related, but with some commercial. However, Wales has and will continue to benefit from its main 海角视频 fund investment activities.
海角视频 Minister for Pensions and Swansea West MP Torsten Bell, said: “Pensions are a massive part of the economy – and we’re seeing this brought to life here in Wales, where a successful local government pension scheme is investing in the right places to drive opportunity and growth for the local community.
“I was delighted to visit Uskmouth Power Station in Newport, which has had a £6m boost from the Wales Pension Partnership, creating 300 jobs which mean opportunity and prosperity at a local level.
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“Making sure everyone can benefit from the potential of larger pension pools ties into the ambitions of our plan for change to boost investment in communities across the country, bringing long-term economic benefits.”
The WPP said: "The Wales Pension Partnership investment in Uskmouth Battery Energy Storage Systems demonstrates our ambitions to attract investment into crucial Welsh infrastructure and secure national energy supplies.
“This investment shows our commitment to working with Quinbrook and our strategic partner GCM Grosvenor to deliver strong investment returns for our pensioners, ensure long-term energy security, reduce carbon emissions, provide jobs and regeneration opportunities across Wales. This is one of many projects that we have in our investment pipeline and will be unveiling over the next 12 months.”
Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans MS said:“We have long recognised the benefits of a strong single Welsh local government pension scheme pool. We want to see the Wales Pensions Partnership continue to go from strength to strength delivering returns for members and be able to invest in economic growth for Wales and the 海角视频.”