One of the British Government’s top economic priorities is promoting international investment in the infrastructure needed to support growth and prosperity, such as transport and energy. So I addressed the annual Australian Super Fund Association conference (ASFA 2012) in Sydney to set out the opportunities for Australian superannuation funds.
In my speech I described the British government’s National Infrastructure Plan, published last year, which sets out a pipeline of over 500 infrastructure projects worth over £250 billion. And I talked about some of the innovative funding routes, including the UK Guarantees Scheme and the Green Investment Bank.
Some of the other speakers noted that there are growing uncertainties in infrastructure around the world, including the UK, as regulators strive to balance the interests of consumers facing rising household bills, and investors needing sufficient returns to justify the substantial future investment needed. They acknowledged that Britain has a very good track record in terms of its welcome for foreign investors, its transparent regulatory system, and its regard for due process, and consultation. That’s why so many Australian investors have had the confidence to invest significant stakes in British airports, water, energy and transport.
Whilst I was up in Sydney I attended a British Airways event to promote their renewed focus on the Australian market following the announcement that their close partnership with Qantas will end next year. They are retaining a daily flight from Sydney to London via Singapore, but it will use brand new 777-300 aircraft and will now go into T5 at Heathrow, recently voted the world’s best passenger terminal – it’s fantastic I can vouch for that. And they will continue to pick up some Qantas passengers from the other Australian cities in Singapore.