L

Lord Londesborough (CB)

Speaking in the House of Lords on 14 May 2025

Debate

Mansion House Accord

Contribution

My Lords, a number of pension providers have warned that progress will be dependent on “a steady supply of high-quality UK investment opportunities”. That is a big pipeline challenge, because our record of financial returns on infrastructure projects is, as we know, suboptimal. Investing in fast-growing start-ups and scale-ups, whether here in the UK or overseas, carries far greater risk. In many sectors such as tech, the failure rate of such start-ups is over 90%. Can the Minister therefore explain how these sorts of investment opportunities sit with the pension funds’ fiduciary and consumer duties to act in their clients’ interests in terms of maximising returns for pensioners without taking excessive risk?

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