U.K. pension funds plan to increase allocations to renewables

Over the next five years, 68 percent of U.K. pension fund investors expect allocations to renewable energy to increase, compared to just 10 percent who expect allocations to fall, according to new research from Alpha Real Capital, the specialist manager of secure income real assets.

When it comes to the United Kingdom, 74 percent of those surveyed already invest in the renewable energy sector. Only 30 percent describe the sector as mature, however, with 52 percent classifying it as developing and 18 percent as early stage. The top two investment areas for the next five years are expected to continue to be solar and onshore wind.

The most important attributes are seen as the ability to invest in strategic infrastructure, access attractive risk-adjusted returns, benefit from asset diversification and deliver stable income returns.

Will Morgan, head of renewables at Alpha Real Capital, said, “Our research supports the view that professional pension fund investors