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The UK Minister of Pensions pays retirement funds to invest in private markets as part of wider plans to improve performance and unify 1.3 million pounds of pensions in the UK.

Torstene Bell told the Financial Times that he was in “very active discussions” with the managers of the specified contribution plans, which cover most of the workers, about increasing their volunteer commitment to special assets.

“The government is encouraging investment in a wide range of assets, not incitement.”

He added that the final report to review investment in pensions – launched by Chancellor Rachel Reeves in July after the Labor Party won, and is scheduled to provide it later this spring – “clarity of the end point” on how to enhance ministerial reforms in productive assets.

Historically, the UK pension industry was reluctant to increase its allocations to private markets. A study conducted by the New Financial, which is a thinking center, last year, found that the UK pension funds invested 2 percent of the total assets in private stocks and 2 percent in infrastructure.

In Australia, a market that the UK has followed closely to form policy, DC 6 percent of the total assets in private stocks and 8 percent in infrastructure.

In 2023, 11 pensioned boxes signed the custody of the palace of the then conservative government, in which they pledged to invest at least 5 percent of their virtual funds in the markets for the year 2030.

But Bell indicated that this goal may become more ambitious in an update to the compact that will be published this summer.

He said: “Every percentage is important when this investment is not only able to achieve yields for savings, but also contributes to economic growth,” adding that the government does not look forward to paying pension funds to invest in private markets in the United Kingdom specifically.

However, some pension industry numbers are skeptical that more investment in private markets will lead to higher returns, and pointed to the relative lack of transparency in private markets on public funds.

Expectations issued in the past fall by the Ministry of Aktaria expert, which provide financial risk assessments for the public sector, were estimated that Click to get pension funds in the UK Investing in private markets would promote only 2 percent revenues over 30 years.

In response to a question about whether the pension industry is doing enough to support investment in the defense sector, which was exposed to the renewal of the audit after the European countries paid to pay the price of higher military spending, Bell said that “in the vast majority of cases” her money was investing in the assets category.

He added: “You will really want pension funds to include a wide range of assets that will include the defense,” although he refused to say whether he will return to the obligations that are being included in a update to Manssion House Compact.

The London City Corporation, the local government of the square, confirmed to FT last week Expand the number of signatories Investment detection in defense was explored as part of the update to compact.

In a speech on the Association of Pension and Savings for Life in Edinburgh on Tuesday, Bell also confirmed that he would carry the public pension plan in England and Wales of 392 billion pounds to a deadline in March 2026 to collect all its assets in the vehicles organized by the Financial Conduct Authority.

This is despite my managers calls The pension scheme for the local government And other government pension industry numbers to allow more time, after the proposals were set in November.

Currently, eight “gatherings” are running on behalf of 86 pension funds for the local authority. The gatherings are responsible for retirement savings of 6.7 million people working or worked mainly in the public sector.

Three of the complexes – arrival in southern and eastern England, northern LGPS and Wales PRENS PRESENTIAL – as joint committees of basic funds and they will have to employ management and paint teams and give FCA to continue to work.

Bell said he was “confident” that they would have enough time to do this.