Manchester Airport to benefit from share of £28.5 billion Australian investment in UK

Australian firms have announced a £28.5 billion total investment into UK businesses and infrastructure, including at Manchester Airport.

Manchester Airport is set to receive a funding boost as IFM Investors, which own a 35.5% stake in Manchester Airports Group, have committed to putting £3 billion into their existing UK assets: these include Manchester, Stansted and East Midlands airports via its MAG holdings, as well as the M6 Toll motorway in the West Midlands. The Australian firm has also announced a new net zero fund to to back large-scale green energy projects in the UK, with the investment expected to support carbon capture schemes, solar power and electrification.

David Neal, CEO of IFM Investors, said:

“IFM is owned by pension funds and invests, over the long term, on behalf of pension funds, their members, and other long term investors. We have been investing in core UK infrastructure for decades and now are planning to almost double our investment over the next five years.

“We believe the deployment of pension capital in partnership with the UK government will be critical to supporting the UK’s energy transition and net zero ambitions over the next 25 years.”

Elsewhere in the region, Australian engineering group, Worley, also announced it would expand on its UK operations, including at its Greater Manchester site in Heald Green, boost its role in driving investment to achieve net zero. The business is set to create over 1,000 new jobs across the North of England and Scotland in the coming 18 months.

The combined £28.5 billion investment package from Australian businesses comes following 10 CEOs and business leaders from the country were hosted by the Prime Minister and International Trade Secretary at a roundtable event to strengthen Anglo-Australian trade relations ahead of the signing of a new Free Trade Agreement.

Prime Minister Boris Johnson said:

“I’m proud that some of Australia’s leading businesses have chosen to invest in the UK, recognising opportunities across the globe in our dynamic and forward looking economy.”

Other major investments from Australian businesses announced following the discussions include Macquarie Group’s £12 billion investment into the National Grid, £5.5 billion investment into low carbon homes and regeneration projects in London and Birmingham from Lendlease, and £8 billion investment into a range of projects by pension fund AustralianSuper.