Workplace pension providers signed up to the Mansion House Accord had invested £11.1bn (€13.2bn) in UK private markets as of 31 December 2025, according to data compiled by the Association of British Insurers (ABI) and Pensions UK.
The signatories held £22.1bn in global private market investments across defined contribution (DC) growth-phase assets, representing 6.6% of those assets, with 3.3% invested in the UK.
The Mansion House Accord is a voluntary, industry-led commitment coordinated by the ABI, Pensions UK and the City of London Corporation to increase investment in private markets. Its 17 signatories are working towards allocating 10% of DC pension assets to private markets by 2030, including 5% to UK private markets, subject to their fiduciary and regulatory duties.
Property, including social and affordable housing, accounted for the largest share of UK private market investments, at £8bn. This was followed by infrastructure (£1.3bn), private debt and credit (£0.9bn), and private equity (£0.5bn).
Signatories have also signed agreements to invest a further £3bn in UK private markets.
The ABI and Pensions UK said providers were at different stages of implementing their private market investment strategies. Over the past year, signatories had established new asset manager partnerships, developed private market investment vehicles and structures, and strengthened in-house investment capabilities through recruitment and training.
As DC pension funds consolidate and grow, schemes will need a steady supply of investable opportunities to deploy increasingly large pools of capital, the organisations said.
They added that the pipeline of UK investment opportunities needed to expand in both quantity and quality. Government support to address regulatory barriers and a greater focus across the workplace pension market on overall value for savers, rather than cost alone, would also be important to accelerating investment.
Mansion House Compact
The Accord builds on the Mansion House Compact, another voluntary commitment launched in 2023 under which providers pledged to allocate at least 5% of their DC default funds to unlisted equities by 2030.
Between February and 31 December 2025, signatories increased investment in unlisted equities within DC default funds by 65%, from £1.6bn to £2.7bn. The allocation rose from 0.6% to 0.85% of default fund assets. Investment in unlisted equities across signatories’ wider DC assets reached £7.46bn by the end of 2025.
Yvonne Braun, director of long-term savings and health and protection policy at the ABI, said the progress showed the industry was delivering on its goal of increasing private-market investment to support “better outcomes for pension savers while helping to finance the homes, infrastructure and businesses the UK needs”.
“However, there can be no room for complacency. Sustaining this momentum will depend on a strong pipeline of investable opportunities and a shift across the workplace pension market away from a narrow focus on cost and towards long-term value for savers,” Braun urged.
Zoe Alexander, chief policy officer at Pensions UK, added: “Mansion House signatories are committed to deploying more capital in the UK, and that commitment shows in this latest set of figures. They see that if investment opportunities are right for savers and can support vital UK growth at the same time, it’s a win-win.”
She said changes facilitated by the government’s new value for money framework, alongside greater co-ordination between Whitehall and public finance institutions, should help create the conditions to accelerate private-market investment further.
Susan Langley, lady mayor of London, said: “It’s really encouraging to see a clear focus on unlocking the investment that the UK needs to drive growth. That means backing innovation and scale-ups, as well as investing in the infrastructure and energy projects that underpin our economy.”
She said employers, trustees, advisers and providers all had a role to play in ensuring investment decisions delivered the best retirement outcomes, adding: “It’s important that we continue to build a pipeline of credible UK investment opportunities, to turn ambition into action.”
Signatories
NEST recently announced that it had delivered on its Mansion House commitments, with around 20% of its assets invested in private markets and 5% in private equity.
The pension provider also announced that it had surpassed £2bn in commitments to a private equity strategy managed by HarbourVest. Launched in 2022 with an initial £750m, the mandate aims to give NEST members diversified exposure to private companies globally and deliver attractive long-term, risk-adjusted returns through selective investment in high-quality businesses via co-investments.
Ian Cornelius, chief executive officer of NEST Corporation, said: “The Mansion House reforms are designed to encourage pension schemes to invest more in private markets and productive assets. At NEST, we’re already putting this approach into practice at considerable scale on behalf of our 14 million members.”
Cornelius added that “a strong UK economy and stronger pensions can go hand in hand when investment decisions are driven by members’ interests”.
Doug Brown, CEO of insurance, wealth and retirement at Aviva, highlighted the launch of its My Future Vision fund, which he said was an “important step” towards giving pension savers access to a diversified range of private-market investments, including private equity, infrastructure, real estate and private debt. Allocations range from 20% to 25%, depending on how close members are to retirement.
“Unlocking further potential at scale for the industry depends on a strong pipeline of suitable UK investments — with decisions made in pension savers’ best interests,” he said.
Phil Parkinson, president and CEO of Marsh people and investment UK, said the company was seeing “real momentum” around the Mansion House Accord.
“Our DC solutions’ business has made an initial commitment of £500m to a customised Long-Term Asset Fund (LTAF), which invests in private markets and represents a meaningful step forward in supporting DC members with better and more resilient outcomes.
“This is aimed at our DC pension savers, so is focused on high-growth private markets, with a significant allocation to private equity and infrastructure.”
Parkinson added: “We believe private markets can help improve long-term outcomes for DC members and across the industry we are already seeing capital flow into exciting new sectors, including attractive opportunities in the UK.”
