Articles

Partnering to invest in existing UK infrastructure

5 min read
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“After a period of historic underinvestment, UK infrastructure must now meet the challenges of a rising population, rapidly growing electricity demand and ambitious net zero targets."

Phelim Bolger
Executive Director, Head of UK & Ireland, Global Client Solutions

Infrastructure has leapt up the UK agenda, both for the government and investors. Policy changes are seeking to draw in more private capital as an engine for growth. Yet amid the clamour to break ground on new projects, the importance – and opportunity – of investing in the UK’s existing infrastructure can often be overlooked. 

The need for capital is large, urgent and cross-sector. Improving energy security has long been a priority; now the government fast-tracking of new reservoirs has brought water security into the spotlight.  

After a period of historic underinvestment, UK infrastructure must now meet the challenges of a rising population, rapidly growing electricity demand and ambitious net zero targets. 

The National Infrastructure Commission estimates that investment must rise to around £80bn a year in the 2030s, from around £55bn over the last decade. 

Upgrading existing infrastructure can allow local deployment of capital at a national scale. Investment in assets such as airports can have far-reaching consequences for both economic growth and local jobs and communities. 

Investing in the UK for over 20 years

Throughout the UK, we support businesses that contribute to the growth and resilience of their local areas:

£5.4 billion invested in the UK

30,000 jobs supported through our UK portfolio

160 strong global investment team, including 40 specialists in the UK

‘Brownfield’ assets can offer lower planning, construction and operating risks than greenfield projects. In many cases, decades of operating data mean their business models and behaviour in different economic environments are well understood. Yet investing in such essential assets takes a rare combination of experience and scale. 

As one of the world’s largest infrastructure managers, IFM Investors has a 30-year track record of investing across continents, and partnering with governments in critical infrastructure build and management. Our pension fund ownership gives us a multi-generational vision: to invest, protect and grow the savings of millions of working people. 

In the UK, our upgrades to the M6 toll road have made it one of the country’s most technologically advanced. We have helped broadcasting infrastructure provider Arqiva develop a new state-of-the-art smart metering platform. At Manchester Airport, we have helped deliver a £1.3bn expansion plan and are harnessing the power of AI to model airfield movements and reduce the time taken to move through airport security. 

Investing for growth doesn’t always mean breaking new ground – sometimes it means making the best of your existing assets.

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UK infrastructure investment expertise

Investing in the UK's future, together.

For over twenty years, we have played an essential role in strengthening the UK’s critical infrastructure by investing patiently and at scale. We believe, by partnering with like-minded organisations, we can support local communities, strengthen the UK’s economy and shape the future of private markets globally.  

Meet the author

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Phelim Bolger

Phelim Bolger is an Infrastructure Specialist at IFM Investors, a global asset management firm owned by pension funds that operate on an all-profit-to-members basis. In his role, Phelim leads client solutions across the UK and Ireland, working closely with long-term, like-minded institutional investors. His responsibilities span relationships with public and corporate pension schemes, investment consultants, insurers, and organisations in the charity and foundation sectors. Additionally, he has responsibility for IFM’s Private Wealth strategy across the EMEA region.

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