Savers want pensions to power UK economy by investing in British companies, housing and infrastructure

Nearly eight in 10 UK pension savers (77%) believe their retirement savings should help build a stronger UK economy, according to new research published today by IFM Investors, Nest and Border to Coast Pensions Partnership.

With the UK facing a significant infrastructure funding requirement in the coming decade, the joint report, Building the UK's Future: The Role of Pension Savings in Infrastructure, outlines strong public backing for pension funds to invest in the UK businesses and essential assets that shape everyday life, from housing, healthcare and life sciences to renewable energy, transport, utilities and digital infrastructure.

Conducted by Ignition House, the research combines a nationally representative survey of 2,000 UK DB and DC pension holders with a week-long qualitative study of 20 savers.

It found that the vast majority of people surveyed feel poor infrastructure is affecting their daily lives, with only three in 10 (29%) confident the UK is investing enough to meet its infrastructure needs.

The research also shows savers care about where their money is invested:

• Seven in 10 (70%) believed pension funds have a responsibility to support UK infrastructure and economic growth.

• More than two thirds (69%) would feel proud knowing their pension was helping fund projects across the UK.

• Nearly eight in 10 (77%) agreed that infrastructure investment will help the UK economy grow and create jobs.

Responding to the findings, Elizabeth Fernando, Chief Investment Officer at Nest Invest, said:

“These findings echo what we heard through Nest’s inaugural Members’ Assembly, where members indicated support for investment in the UK where it can deliver strong long-term value and contribute to economic growth.

“We hope these findings encourage more pension schemes to consider how pension capital can help finance the housing, transport, energy and digital infrastructure the country needs, in ways that generate attractive returns for members.”

While meeting fiduciary duties, members also wish for schemes to invest their pension money in areas which reduce the cost-of-living pressures, create jobs and boost growth, and enhance quality of life.

Commenting on the findings, Amarik Ubhi, Senior Portfolio Manager at Border to Coast, said:

“While risk and return considerations remain paramount, we recognise the additional benefits that come with UK investment, and it’s important the investment ecosystem supports a greater pipeline of investable opportunities. The vast majority of our two million members live, work and retire in the local areas where they have worked. So improved UK infrastructure, along with all the economic, social and practical benefits that come with such projects, will directly improve the quality of life for members. This has long been part of the DNA of the LGPS and why UK investments represent nearly a third of our partnership’s total assets.”

The findings come as the Mansion House Accord puts renewed focus on defined contribution pension schemes unlocking more private-market investment for UK growth, while the government’s introduction of a dedicated ‘Supers Unit’ to attract institutional capital from Australia has highlighted the role Government sees overseas capital playing.

The research shows that savers recognise the scale of the challenge cannot be met by domestic capital alone. They were open to overseas investment, with Australia and Canada attracting strong trust as stable democracies, close allies and long-term partners.

Commenting, Phelim Bolger, Head of Client Services, UK & Ireland, IFM Investors, said:

“This research suggests pension savers recognise the role patient, long-term pension capital can play in funding infrastructure that supports growth, strengthens communities and improves everyday life.

“As one of the UK’s largest sources of foreign investment, Australian pension capital already helps finance the essential infrastructure communities and businesses rely on. These findings reinforce the value of long-term international investment working alongside UK pension capital to support future growth.”

For more information please contact:

IFM: [email protected] | [email protected]

Border to Coast: [email protected] | [email protected]

Nest: [email protected] | [email protected]

IFM Investors

IFM Investors is a global asset manager, founded and owned by pension funds, with capabilities in infrastructure equity and debt, private equity, private credit, real estate and listed equities. Our purpose is to invest, protect and grow the long-term retirement savings of working people.

With assets under management of approximately £152bn as of 30 June 2026, we serve almost 900 institutional investors worldwide, operating from 16 offices across Australia, Europe, North America and Asia.  

Border to Coast Pensions Partnership

Based in Leeds, Border to Coast is the largest LGPS (Local Government Pension Scheme) pool in the UK. It is owned by 18 Local Government Pension Schemes funds (‘Partner Funds’) which collectively represent over 5,000 employers and two million members.   

The Partner Funds are Bedfordshire, Cambridgeshire, Cumbria, Durham, East Riding, East Sussex, Essex, Hertfordshire, Kent, Lincolnshire, Northamptonshire, North Yorkshire, South Yorkshire, Surrey, Teesside, Tyne and Wear, Warwickshire and West Sussex.   

The 18 Partner Funds have approximately £120bn of assets, strengthening the Border to Coast partnership’s ability to harness scale to be more effective, more resilient, and more impactful.    

Border to Coast Pensions Partnership Ltd is authorised and regulated by the Financial Conduct Authority. Registered in England Number: 10795539 and Registered Office: 5th Floor, Toronto Square, Toronto Street, Leeds, LS1 2HJ.   

Nest

Since its creation in 2012, following the introduction of auto enrolment, Nest gives every UK worker somewhere good to save. Since then, it’s grown to become the largest workplace pension scheme in the country with more than 14 million members. One in three of the working population has a Nest pension pot. By 2030, we expect that number to grow to half of the entire UK workforce.

Nest’s members benefit from an award-winning investment strategy and one of the most diversified DC portfolios in the industry. It practices responsible investment that aims to deliver long-term growth while carefully managing risk. 

Nest invests £68.4 billion* in assets on its members’ behalf. By 2030, Nest will have close to £100 billion invested on its members’ behalf.

*Asset under management as at 30 June 2026.