BORDER TO COAST MARKS FIVE YEARS OF DELIVERY
Posted on July 19th, 2023
- 83% of assets owned by Border to Coast’s 11 LGPS Partner Funds pooled in just five years.
- Pooling on target to deliver savings for Partners Funds of £340m by 2030.
- New ‘UK Opportunities’ strategy set to deliver additional productive finance across the regions of the UK.
Border to Coast Pensions Partnership has marked five years of significant progress in delivering the benefits of pooling and as part of its next stage of strategic development has announced a new investment initiative aimed at working with its Partner Funds to deliver productive finance across the regions of the UK.
The latest Annual Report from the UK’s largest Local Government Scheme (LGPS) pool shows that, just five years after launch, 83% of the assets owned by Border to Coast’s 11 Partner Funds have already been pooled and collective net savings are on track to reach £340m by 2030. Meanwhile, research by asset management data company ClearGlass Analytics, into value for money, ranked Border to Coast number one in its efficiency scheme index of over 1,000 pension schemes. The analysis showed its leading position is due to its scale, governance and its blend of internal and external management.
Building on Border to Coast’s existing investment opportunities, including its £12bn Private Markets programme which is investing over £4.3bn in infrastructure and £3bn in private equity, a new ‘UK Opportunities’ strategy will provide its Partner Funds with additional opportunities to invest in private market assets across the UK, such as venture and growth capital. In total nearly £50bn of assets are in pooled vehicles either operated directly, or overseen, by Border to Coast, with over 130 colleagues focused on delivering innovative and effective investment solutions for its 11 Partner Funds.
Border to Coast and its Partner Funds will be sharing their experience of how pooling can deliver innovative investment opportunities that underpins the pensions of more than 1.1m members, and delivers productive finance that supports economic growth, with the Government as part of its consultation on the future of the LGPS.
“Five years into our journey, we are exceeding the original ambitions for pooling. With 83% of our Partner Funds’ assets pooled we have been able to deliver over £65m of savings net of set up costs with more to come. But perhaps more importantly, we have built a sustainable centre of expertise in Leeds delivering innovative and effective investment solutions for our Partner Funds.”
Rachel Elwell, CEO at Border to Coast, said:
“With the support of our Partner Funds, we have built a strong and resilient organisation, with the right people and culture, to support Partner Funds in the implementation of investment strategy.
“With our in-house investment team, we have built a range of innovative and high quality investment propositions, and our £12bn Private Markets programme is delivering significant investment into growth capital and infrastructure.
“I am particularly pleased with the team’s work with Partner Funds on our innovative ‘UK Opportunities’ strategy, which will facilitate investment leading to the generation of a range of positive local impacts, such as new jobs, infrastructure, and economic growth across the regions of the UK, while providing returns to fund pension obligations.
“Working together, as a true partnership, is the key to our collective success, and I look forward to continuing our pooling journey and, on behalf of our Partner Funds, continuing to make a difference for the LGPS.”Back to all News & Insights