UK Wealth Fund Unlikely to ‘Shift Dial’ on Growth, MPs Warn (1)

Chancellor of the Exchequer Rachel Reeves’ attempt to boost growth by luring in private investment through the National Wealth Fund will be held back by its limited size, an influential group of British lawmakers said.

The Treasury Committee warned on Tuesday that ambitions for the fund to deliver significant economic benefits are “very challenging” after hearing that its size pales in comparison to similar efforts in France and Germany.

The Labour government wants the fund, through a mix of equity and financial products such as guarantees, to drive private investment into key sectors, including industrial decarbonization and gigafactories. While ...