LONDON, Jan 28 — Britain’s National Wealth Fund said today carbon capture, the power grid and battery manufacturing are among the ten sectors it will focus on over the next five years to help the country’s relatively sluggish economy pick up.
CEO Oliver Holbourn is aiming to deploy £4 billion (RM21.7 billion) to £5 billion in investments per year in projects from now until 2030/31, which he said should create or support 200,000 jobs.
“We’re going to go faster and in a more focused way,” Holbourn told reporters today as the fund published its five-year strategic plan.
Labour government struggling in the polls
Set up by the current Labour government in 2024 to drive economic growth and support the UK’s net zero transition, the NWF is aimed at providing debt or equity financing for projects in areas such as clean energy and transport, alongside investment partners.
Prime Minister Keir Starmer’s government has so far failed to turn around Britain’s economy and is struggling in the polls, putting pressure on initiatives like the NWF for economic revival.
Ports, nuclear, energy storage and green steel are part of the NWF’s main targeted sectors, but it will also consider investments in defence, advanced materials and critical minerals, Holbourn said, aiming to strengthen Britain’s domestic supply chains to make the country more self-sufficient.
Fund has about £28 billion pounds to invest
Operating as the UK Infrastructure Bank prior to 2024, the NWF is owned by the government but run independently.It has about £28 billion to invest, of which about 30 per cent has already been allocated to about 70 projects. Holbourn said the return targeted by the fund was not being made public.
To date, the fund has invested in Britain’s new nuclear power station, Sizewell C, which is currently being built, and loaned Iberdrola-owned ScottishPower 600 million pounds to help fund upgrades to the country’s power grid.
It has also provided a financial guarantee to SSEN Transmission’s plans for grid upgrades. — Reuters
