BioCentury
ARTICLE | Finance

U.K. pension funds mull private equity

May 15, 2000 7:00 AM UTC

OXFORD - Britain's £800 billion ($1.2 trillion) pension fund industry is poised to take a closer look at U.K. private equity opportunities. The National Association of Pension Funds (NAPF) last week announced it was establishing a working party with the British Venture Capital Association (BVCA) to review the regulatory issues and make recommendations on private equity investment in the small business sector. The initiative is seen as a pre-emptive strike against the government's inquiry into why British institutions are not big backers of U.K. entrepreneurs, which is expected to be launched this week.

Last year, Prime Minister Tony Blair threw down the gauntlet to U.K. pension funds, lambasting them for being too cautious by not investing in private equity. He called on them to take a leaf out of the U.S. pension industry's book and invest more in venture capital projects. ...