Chief Secretary to the Treasury Danny Alexander has announced that six insurance firms have committed to invest £25bn in capital projects across the UK over the next five years, covering energy, transport, flood defence, waste, water and communications infrastructure
Alexander announced that the firms - Prudential, Aviva, Legal & General, Standard Life, Friends Life and Scottish Widows - have made the commitment following negotiations with the Treasury and the Association of British Insurers.
Announcing the investment as part of the Autumn Statement update to the National Infrastructure Plan, Alexander said the investment pot was 'a massive vote of confidence in the UK economy'.
He added: 'It supports the wider £100bn public investment to rebuild Britain over the next seven years that I announced at the Spending Round 2013.
'This is great news for the people of the UK because after years of neglect, the UK's energy, road, rail, flood defence, communications and water infrastructure needs renewal. It will boost the UK economy, creating jobs and making it easier to do business. It will also make the UK a better place to live for everyone who calls it their home.'
Otto Thoresen, the director general of the Association of British Insurers, added: 'Insurers have a key role to play in contributing to the UK's economic growth, as providers of long-term capital investment. Providing capital for infrastructure projects will help drive a competitive, healthy and resilient UK economy.'
Today's revised NIP, which includes 646 projects worth £375bn to be delivered by both the public and private sector, also set out government plans to create a new 'infrastructure court'. This would tackle delays in the planning system by reducing the impact of 'meritless' judicial review claims.
