Schroders Capital’s Real Estate Impact Fund has received a £50 million investment from Homes England, the UK government’s housing and regeneration agency.
The investment is part of a package of measures announced by the Ministry of Housing, Communities and Local Government and HM Treasury as part of the government’s programme of activities around this week’s international investment summit.
The summit has been focused on driving investment and growth across the UK, with up to 300 industry leaders attending alongside the UK Prime Minister Keir Starmer, Chancellor Rachel Reeves and Business and Trade Secretary Jonathan Reynolds.
SCREIF is a real estate focused strategy with the dual aims of delivering a positive social and environmental impact in addition to securing appropriate risk-adjusted returns for investors.
Last month, the strategy became only the second real estate fund in the UK to receive approval from the Financial Conduct Authority to use the ‘Sustainability Impact’ label under SDR.
With a residential-led approach, the fund is predominantly focused on addressing the UK’s housing crisis, specifically, the shortage of social and affordable accommodation and the regeneration of town centres.
The fund aims to ensure that its investments are made in accessible and resilient locations, with access to green space, public transport, schools and GPs.
The investment from Homes England will increase the ability of the fund to grow and invest more widely across the UK and secure further allocations from pension funds, insurers and foundations.
Matthew Pennycook, Housing and Planning Minister, said: “Delivering 1.5 million new homes over five years will require significant investment, including through new models of public-private partnership.
“The contribution we are making today alongside Schroders will see investment directed toward building thousands of new homes and providing the social infrastructure, amenities, and services necessary to create thriving communities.”
