Border to Coast Pensions Partnership has committed £80m to healthcare innovation and drive the energy transition in the UK.
This builds on more than £1bn Border to Coast has invested in the country’s private markets, which will keep the chancellor Rachel Reeves happy.
Forming part of the pool’s £500m UK Opportunities strategy, two UK-focused funds have been earmarked for £40m of commitments respectively: UBS UK Life Sciences Property strategy and Quinbrook Renewables Impact Fund II.
These commitments build on an existing £1bn invested in UK private markets, £1.3bn invested in UK real estate, and a further £10bn invested across UK public markets by the pool.
Border to Coast’s commitment to the UBS UK Life Sciences Property strategy will help build real estate for the life sciences industry, supporting research and development and manufacturing in the UK, and assist in medical innovation.
Situated in the ‘Golden Triangle’ between Cambridge, Oxford and London, the developments will help meet high demand for specialist, energy-efficient real estate to support this growing industry.
The commitment to the Quinbrook Renewables Impact Fund will support the development of renewable energy generation, the decarbonisation of infrastructure, and increased grid stability, helping further the UK energy transition.
Border to Coast’s capital will support the construction of projects such as the Mallard Pass solar farm, a 2,000-acre site on the Rutland/Lincolnshire border expected to generate enough energy to power 92,000 households during the next 30 years.
The investment will also benefit projects to decarbonise commercial vehicles and improve public charging infrastructure.
Joe McDonnell, chief investment officer at Border to Coast (pictured), said: “The UK Opportunities strategy offers investments that both deliver good risk-adjusted returns over the long run with the added benefit of improving the infrastructure of the UK.”
“That’s additional value that members can enjoy in addition to returns,” he added.
The UK Opportunities portfolio is one sleeve within Border to Coast’s broader private markets Programme, which as of 1 April has received further commitments totalling £2.5bn from partner funds – taking its total size to £18bn.
The commitments will be invested globally across private equity (£585m), infrastructure (£775m) and private credit (£1.1bn).
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