Commentary

Force pension funds to invest in the UK? Nice idea, but it could backfire

The government must admit buying British might have little upside or even cause harm

Force pension funds to invest in the UK? Nice idea, but it could backfire
Illustration: Dmitrii Guzhanin/FN Staff/Getty

David Wighton is a columnist at Financial News

The idea that the government might force pension schemes to invest a certain proportion of their funds in UK assets has triggered predictable outrage from the pension industry. It could reduce returns to pensioners and would be in conflict with our fiduciary duty, say the horrified critics.

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