UK government legislative records

Reeves Unveils Pension Megafunds to Boost UK Investment and Growth

Nov 14, 2024, 11:34 AM

Chancellor Rachel Reeves has announced plans to create pension 'megafunds' in the UK, aiming to unlock up to £80 billion in investment for infrastructure and economic growth. The government intends to merge local government pension schemes and defined contribution pension schemes into these larger funds. This move is part of what Reeves describes as the 'biggest set of reforms to the pensions market in decades,' with the goal of boosting savings in retirement and driving economic growth. The reforms are expected to be detailed in legislation next year, following Reeves's Mansion House speech where she highlighted the need to increase risk-taking in the financial sector to spur growth, criticizing post-2008 financial crisis regulations as having gone too far.