Tory MP: Government should give fund managers £15bn to invest in SMEs

'Recovery fund'

Mike Sheen
clock • 2 min read

Conservative MP and former employee of HSBC Bim Afolami has called on the Treasury to establish a ‘Recovery Fund’ of £15bn, which would be allocated to FCA-regulated fund managers to invest in the shares of small- and medium-sized businesses in efforts to deliver "transformative growth after Covid-19".

The MP for Hitchin and Harpenden, who previously backed calls for post-Brexit deregulation of the City, said in a report published today (16 June) that the shares purchased by the UK Government could be sold back to the public at a later date with discounted shares offered "to lower-paid NHS workers and young people". Writing on behalf of Westminster think-tank, the Social Market Foundation, Afolami (pictured) is expected to float the plan in the House of Commons later today. The report, Unlocking Britain, suggests that the £15bn would be borrowed via gilt issuance and be invested via...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Pensions tax breaks: Budget 'kite-flying' creating cash management challenge

Pensions tax breaks: Budget 'kite-flying' creating cash management challenge

Savers and advisers dealing with cash management quandary

Kate Toumazi
clock 14 October 2025 • 3 min read
Partner Insight: Finding the right partner for a managed portfolio service

Partner Insight: Finding the right partner for a managed portfolio service

Francis Clark Financial Planning set up a white-label managed portfolio service for their clients, but as the effects of COVID-19 played out and markets stagnated, they realised they needed a change. Managing Director Chris Reah explains how they found the right solution.

Chris Reah, Francis Clark Financial Planning
clock 13 October 2025 • 5 min read
Watch Professional Adviser's Working Lunch with Baillie Gifford - Decumulation Decisions: Resilient Monthly Income for Retirees

Watch Professional Adviser's Working Lunch with Baillie Gifford - Decumulation Decisions: Resilient Monthly Income for Retirees

Catch up on the discussion

Professional Adviser
clock 10 October 2025 • 1 min read