L&G commits to £2bn regional investment
Local and combined authorities are encouraged to reach out to Legal & General to discuss potential investment opportunities, with the global investor set to provide £2bn in funds for regional growth by 2030.
L&G predicts its £2bn investment promise will support the delivery of approximately 10,000 affordable homes across the regions as well as assisting with infrastructure, retrofit, regeneration, and knowledge economy hub projects.
“As a long-term investor in the UK economy, L&G has a proud history of using pension capital to develop assets that deliver strong financial returns and lasting social impact,” said António Simões, group chief executive of L&G.
“Our £2bn commitment will help unlock the investment needed in productive assets across the country – creating jobs, strengthening communities, and driving both regional and national growth.”
Funds will be distributed on a project-by-project basis, with the exact amount decided by local need and demand.
L&G has been an active force in the regions for many years, having worked alongside Newcastle City Council and Newcastle University to deliver the £350m Newcastle Helix development, which consisted of housing, R&D facilities, and offices.
Over in the West Midlands, L&G agreed a £4bn partnership with the combined authority in 2022 to help its efforts to breathe new life and deliver much-needed homes on brownfield land.
As part of ECF, L&G has also been instrumental in delivering regeneration projects in Salford, Bradford, and Hull.
The latest £2bn investment commitment comes as L&G joins Sterling 20, a partnership between 20 of pension providers and investors dedicated to funding infrastructure projects across the country, utilising their combined £3tn in assets to do so.
Chancellor Rachel Reeves welcomed the news of L&G’s £2bn commitment and Sterling 20.
“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,” she said.
“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.”
