Pension funds could be forced to invest in UK projects
The government is set to give itself the power to mandate pension funds to invest cash in UK projects if they fail to comply with a voluntary pact due to be announced this week.
A review, led by pensions minister Torsten Bell, is expected to recommend that the government is given the option to mandate pension fund investment, according to a source close to the government.
The review will be published later this month after an agreement this week by more than 15 major pension fund investors — thought to include FTSE 100 giants L&G, Aviva, Phoenix and M&G — to invest up to 10 per cent of their assets in fast-growing companies and infrastructure, with half of that designated for the UK, by 2030.
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