We have around £6 billion invested to support the cost of paying our members’ pensions.
While your pension benefits are guaranteed by law and not dependent on investment returns, how the Fund invests still matters. We are reducing carbon emissions across our investments and shifting towards more sustainable assets.
Every day, your money is at work in the real world, including helping to fund housing, green energy and support local businesses.
Our progress on cutting carbon emissions
- We have greatly reduced the carbon footprint of our investments and remain on track to reach net zero by 2045.
- We are ahead of plan, having already met some of our 2030 climate targets early.
A big part of this progress comes from careful investment decisions. We’ve reduced the amount we invest in high emitting companies and increased investment in climate friendly sectors.
Working with our investment partners, we encourage companies to be more open about how they deal with climate risks and strengthen their net zero commitments. We will continue to prioritise stewardship, advocating for plans that turn climate goals into reality and holding companies to account where progress stalls.
There is still more to do, and progress will increasingly rely on companies decarbonising further. Our future plans include investing in natural capital and supporting biodiversity alongside setting ambitious climate goals.
But the direction is clear: the Fund is moving steadily towards a cleaner, more resilient investment portfolio that supports long-term investment returns for our members.
Growing our local impact investments
We are investing directly in projects that benefit communities across the South West. Our Local Impact Portfolio is planned to grow to £300 million by 2027.
We have already invested £70 million into regional solar energy projects, supported the development of new affordable homes, and invested in high potential local businesses.
Investing in affordable housing
Working with partners such as Octopus Capital, we are supporting the development of much-needed, high quality, affordable family homes locally and nationally.
- We have helped to fund over 1,000 homes, with over 800 already complete and the rest are in development.
- In early 2026 we made our first investment in affordable local homes. We acquired 16 energy efficient homes in Emersons Green, South Gloucestershire and 24 homes in Paulton, Bath and North East Somerset, as part of a £4 million transaction.
We expect to help fund over 400 new homes in the region over the next 12-18 months. A number of these will benefit from low-carbon and smart technologies to reduce resident energy costs, as well as delivering attractive financial returns for the Fund and its members.
