The majority of U.K. investors view liquidity constraints and insufficient regulation as key barriers to investment in renewable energy, according to a new study by Downing.
Downing surveyed 100 U.K. pension funds, institutional investors and wealth managers with a collective £118 billion ($147 billion) of assets under management. The survey found 75 percent of professionals believe a lack of liquidity in certain areas of the renewable-energy sector is the main barrier to investment. Another 70 percent say regulation needs to improve, while the same number cites high costs as an obstacle to investment in renewables.
Despite this, 94 percent of institutional investors and wealth managers said they believe the renewable-energy sector will become more attractive in the next three years due to the macro-economic environment, a fall in fixed income yields and expected regulatory changes as the top reasons.
“Renewable energy is gaining more importance to institutio
