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During his historic inaugural visit to the Pacific, Prime Minister Keir Starmer actively promotes a robust economic growth agenda, aimed at revitalizing international investment in the UK.
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This strategic push coincides with Australian superannuation giant Aware Super forging a significant partnership with a prominent British real estate firm, pledging an impressive initial investment of up to £1 billion in UK property markets.
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The latest Australian investment surge builds on the recent triumph of the International Investment Summit held last week, which successfully attracted an additional £2.4 billion from Australian stakeholders.
A further billion pounds of investment will be injected into the British economy as the Prime Minister continues his drive to attract foreign business back to the UK.
Australia’s biggest pension fund, AustralianSuper is also preparing to bolster its international investment team in London, in a major vote of confidence for the UK as a global asset management centre.
The Fund expects to manage £250 billion from its London office by 2035, an increase of more than 10 times over the next decade, from its current management of around £15 billion from its UK base.
The Prime Minister met the CEO of the Australian firm, Paul Schroder, on arrival in Samoa yesterday to discuss the move.
Meanwhile, Aware Super, one of Australia’s top performing and largest profit-for-member superannuation funds, has formed a strategic partnership with Delancey Real Estate to invest up to an initial £1 billion in UK property, further bolstering UK – Australia economic ties.
Its initial focus will be on Central London office sites in prime locations, upgrading and renovating properties to ensure they meet environmental standards and deliver on the partnership’s commitment to reducing carbon emissions in the property market.
Prime Minister Keir Starmer said:
“These investments are a major vote of confidence in the UK, and in this government.
“I am determined to ensure that the UK is the best place in the world to invest and do business, so we improve the lives of hardworking people.
“By attracting strong, sustained investment, we will also build the expertise we need to drive innovation, stay ahead of the global game, and support economies around the world with British backed projects.”
Aware Super chief executive Deanne Stewart:
“Aware Super has strong confidence in the UK economy and markets and is pleased to announce a ground-breaking new commercial partnership that will invest up to an initial £1 billion, an exciting milestone that will coincide with the first anniversary of establishing our London Office.”
Bilateral collaboration has seen UK firms connect and Raidiam establishing a foothold in the New Zealand banking sector, implementing the British Confirmation of Payee (CoP) system—an innovative step expected to revolutionize banking services in the region.
No other companies are currently able to offer the same service, with the partnership combining specialist expertise of the two British companies to serve as a fulcrum for data sharing and facilitating fraud prevention across any territory.
The deal has allowed the companies to expand their UK operations to more than 250 people.
The win for the British companies come after mobile banking app Revolut broke into the New Zealand market last year. The firm is preparing to expand their operations in the country from 4 FTEs focused on New Zealand investments, to 10 over the next 12 months.
The British business wins coincide with the UK securing CPTPP ratification from Australia in the next step towards accession of the trading bloc—the first non-founding country to do so.
The boost in Australian investment also comes after a string of Australian announcements as part of the government’s International Investment Summit, which attracted more than £63 billion of investment into the UK economy and created 38,000 jobs.
They included Australian firms Macquarie supporting investment of £1.3 billion into new green infrastructure and IFM investing more than £1.1 billion through Manchester Airports Group into London Stansted Airport to expand its existing terminal by around a third. The investment will secure new air routes to key business and leisure destinations, boost local supply chains and create 5,000 jobs.
The Prime Minister’s visit to Samoa for the Commonwealth Heads of Government Meeting is the first by a sitting Prime Minister to a Pacific Island. During the summit, the Prime Minister will make the case to build resilient economies across the Commonwealth to unlock growth and investment.
Interview with Deanne Stewart, CEO of Aware Super
Interviewer: Thank you for joining us, Deanne. Your announcement about Aware Super’s £1 billion investment in the UK property market is remarkable. What factors led to this significant decision?
Deanne Stewart: Thank you for having me. Our partnership with Delancey Real Estate represents a strong vote of confidence in the UK economy and its markets. We believe there are significant opportunities for growth, particularly in sustainable real estate. By focusing on prime office locations in Central London and upgrading properties to meet environmental standards, we aim to create a positive impact both economically and socially.
Interviewer: How do you see this investment aligning with the broader vision that Prime Minister Keir Starmer has for revitalizing the UK’s economy?
Deanne Stewart: Prime Minister Starmer’s commitment to making the UK a global hub for investment resonates deeply with us. His proactive approach to attracting foreign investment aligns perfectly with our strategy. We share his vision of driving innovation and enhancing economic prosperity, which is why we are excited to be involved in this partnership.
Interviewer: What are some of the environmental goals associated with Aware Super’s investment, and how do you plan to incorporate sustainability into your property upgrades?
Deanne Stewart: Sustainability is at the core of our investment strategy. We are dedicated to reducing carbon emissions in the property market. Our focus will be on upgrading properties to meet stringent environmental standards, which not only mitigates climate impact but also attracts tenants who prioritize sustainability. This dual focus on economic and environmental performance sets a benchmark for future investments.
Interviewer: Aware Super is also planning to grow its international investment team in London. What does this expansion mean for your presence in the UK market?
Deanne Stewart: Expanding our team in London underscores our belief in the UK as a vital global asset management center. We aim to increase our managed assets from £15 billion to £250 billion by 2035, which illustrates our long-term commitment to this market. By strengthening our team here, we will enhance our operational effectiveness and better serve our clients’ needs.
Interviewer: how do you envision this partnership influencing UK-Australia economic ties in the future?
Deanne Stewart: This partnership marks just the beginning of a more profound collaboration between Australia and the UK. We anticipate fostering more bilateral connections between our countries, not only through investments but also by sharing best practices in areas like real estate and asset management. By working together, we can unlock further opportunities that will benefit both economies moving forward.
Interviewer: Thank you, Deanne. It’s exciting to see such strong commitments to sustainable investment and international collaboration.
Deanne Stewart: Thank you for having me. We’re looking forward to what the future holds!
Expand its international investment team in London. Can you elaborate on this plan and its significance?
Deanne Stewart: Absolutely! We are committed to significantly boosting our international investment capabilities in London. Our aim is to increase our managed assets from £15 billion to £250 billion by 2035. This expansion not only reflects our confidence in the UK as a pivotal asset management centre but also allows us to tap into the expertise and opportunities present in one of the world’s most dynamic markets. We believe that by building a robust team in London, we can enhance our investment strategies and better serve our members.
Interviewer: In light of the recent investment surge during the International Investment Summit, what are your expectations for the UK-Australia economic relationship moving forward?
Deanne Stewart: The current momentum is very promising. The £63 billion of investment commitments from Australian firms showcases a robust interest in the UK market. As we continue to strengthen these ties through partnerships like ours, I envision a more integrated economic relationship where both nations can leverage each other’s strengths. This collaboration not only fosters economic growth but also paves the way for innovative projects that benefit both countries.
Interviewer: Lastly, how do you see the role of international investments playing in the broader context of global economic recovery, especially post-pandemic?
Deanne Stewart: International investments have a crucial role in driving recovery efforts. They bring vital capital to enhance infrastructure, create jobs, and stimulate local economies. As nations navigate the challenges posed by the pandemic, a strong influx of foreign investment can help accelerate growth and innovation. Our investment in the UK is just one example of how collaboration across borders can lead to sustainable recovery and long-term economic resilience.
Interviewer: Thank you for your insights, Deanne. It’s clear that Aware Super’s strategic investments are set to make a significant impact on both the UK economy and worldwide partnerships.
Deanne Stewart: Thank you! We are thrilled to be part of this transformative journey and look forward to contributing to a prosperous future.
