‘Mansion House Reforms’ set to boost innovation in the UK by injecting £50bn into private businesses
IN BRIEF:
The UK’s pensions funds have agreed on a deal that could see up to £50bn invested into early-stage businesses
A ‘compact’ has been formed by some of Britain’s biggest pension companies to commit 5 per cent of their investments to private equity and early-stage businesses by 2030
Previously, despite being the largest market for pensions in Europe, UK rules have largely prevented pension funds from investing in privately held businesses
What does this mean?
“We want to be the world’s next Silicon Valley and a science superpower, embracing new technologies like AI in a way that brings together the skills of our financiers, entrepreneurs and scientists to make our country a force for good in the world, while leading the way on AI safety,” said Chancellor of the Exchequer, Jeremy Hunt. “That means making sure our financial services sector, traditionally so nimble and agile, has the right architecture to provide the best possible security for investors as well as capital for businesses, and the best talent right here in the UK to make that happen.”
