British ministers will on Tuesday welcome nearly Â£ 10 billion in investments pledged by companies such as Iberdrola and Prologis as the start of global partnerships to support “green growth” in the UK economy.
The UK’s series of infrastructure, technology and energy investments have been pledged to coincide with a government-sponsored green summit that will bring together more than 200 of the world’s financiers and leaders.
Iberdrola has committed Â£ 6 billion through its UK subsidiary ScottishPower for offshore wind development off the coast of East Anglia. This investment, which would create 7,000 jobs but was reported before, is also the subject of an urban planning permit and a State subsidy contract.
Iberdrola chairman Ignacio GalÃ¡n said it would be a “milestone” to achieve enough offshore wind power to power every UK home by 2030.
Other announcements include Â£ 1.5bn pledged by developer Prologis over the next three years in warehouses, which he says will support around 14,000 new jobs in London, the south-east and the Midlands .
Recycling and renewable energy group Viridor has said it plans to invest up to Â£ 1bn in decarbonization technology at five UK sites, creating 1,180 jobs, with the aim of becoming the first company to zero net waste by 2030.
Other deals include a Â£ 220million fundraiser by peer-to-peer lending firm Zopa, run by SoftBank Vision Fund 2.
Budweiser and Protium, the energy services company, will spend more than Â£ 100million to deploy green hydrogen at the Magor brewery in South Wales. The Getir grocery delivery service has also said it plans to invest Â£ 100million to expand across the UK.
The announcements coincide with a summit at the London Science Museum, which will be hosted in part by Prime Minister Boris Johnson and Chancellor Rishi Sunak. This will be followed by a reception with the Queen and other members of the Royal Family at Windsor Castle, with the aim of getting more investors to commit money to the UK.
The UK government is keen to use outward investment as a means of fueling economic recovery, supporting infrastructure projects and developing green-oriented technologies.
More than 100 meetings were held between investors and ministers at the event, according to a person familiar with the arrangements. Among the attendees are former Microsoft boss Bill Gates, who will have a televised conversation with Johnson on Tuesday morning.
Other attendees include BlackRock boss Larry Fink and Stephen Schwarzman of Blackstone, while executives also come from multinationals such as Amazon, Heinz and Disney.
Most of the investors come from overseas, with about a third from the United States. However, there are only “a few” guests from China, according to a person familiar with the matter, and no deals involving Chinese companies.
EDP, the Portuguese energy company, will also announce that it will invest up to Â£ 13 billion by 2030, including in onshore and solar and offshore wind projects such as Moray West, Moray East and ScotWind. But Â£ 10 billion will depend on winning offshore rental towers in Scottish waters.
Separately, the Treasury announced Monday that some companies are expected to publish climate “transition plans” detailing how they intend to meet net zero commitments.
Companies listed and registered in the UK are expected to come up with plans aligned with the government’s decarbonization goal by the middle of the decade, or explain why they had not done so.
Under the new reporting regime, companies will also need to explain how their activities impact the environment, going beyond the existing requirements of the Climate-Related Financial Reporting Working Group to detail climate-related risks. .
Meanwhile, any claims of sustainability made by asset managers, owners and investment products will need to be clearly and comparably justified.
Additional reporting by Nathalie Thomas