L&G: FTSE 100 giant reveals £2bn plan to create 24,000 jobs
FTSE 100 giant Legal & General (L&G) has revealed plans to invest £2bn in regeneration projects across the UK in a move which it said will create around 24,000 jobs.
The group said it would invest into ‘productive assets’ such as infrastructure, affordable housing and urban regeneration between now and 2030.
L&G added that it would help deliver around 10,000 new social and affordable homes across the country.
Funds are to be allocated based on ‘local needs and demand’, the group also said. L&G already has investments live in the likes of Oxford, Glasgow, Cardiff, Newcastle, Salford and Sheffield.
The plans come as the UK government redoubles its efforts to encourage regional growth by using investment from pension funds alongside public funding to deliver housing and infrastructure projects at scale.
António Simões, group chief executive at L&G, said: “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.
“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.”
Reeves targets pension funds’ investment
L&G’s announcement comes ahead of the first-ever Regional Investment Summit in Birmingham on Tuesday, 21 October.
There, Sterling 20 – a new investor-led partnership of 20 of Britain’s largest pension providers and insurers – will meet to identify and fund key infrastructure projects across the UK.
Chancellor Rachel Reeves added: “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.
“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.”
L&G’s previous regional investments have included a £50m partnership with Newcastle City Council and Newcastle University which helped transform the former Scottish and Newcastle Brewery site into the 24-acre Newcastle Helix.
The £1bn City Square development in Cardiff was also supposed by L&G alongside the city council.
The scheme helped to create new transport links, offices and homes, helping to generate 13,000 jobs.
L&G’s claim that it will create around 24,000 direct, indirect and induced jobs was calculated using National Housing Federation – Local Economic Impact Calculator and RICS UK commercial real estate impact report.