Financial Stability: Private Equity Firms
Debate between Baroness Vere of Norbiton and Lord Londesborough(4 months, 2 weeks ago)
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Baroness Vere of Norbiton (Con)
My Lords, there are £250 billion of private equity assets under management in the UK, versus £10.3 trillion of total assets under management. It is a smaller part of the financial system. The noble Lord is not right to say that it is unregulated: UK private equity managers are regulated under the alternative investment fund managers regime. They must also comply with the senior managers and certification regime.
Lord Londesborough (CB)
My Lords, I declare my interests as set out in the register. It is hardly surprising that private equity is struggling to do deals and sell its portfolio companies in a climate of high interest rates and low growth. In fact, it is zero growth, as October’s dismal GDP figures show that we have seen no growth at all in the last quarter. In view of capital’s recent flight to quality, does the Minister agree that our lack of an economic growth strategy is the biggest drag on private equity in this country?
Baroness Vere of Norbiton (Con)
I do not agree with the noble Lord. As he will have seen in the Autumn Statement, the Chancellor set out significant tax cuts to encourage growth. That is where we are focusing our firepower at the moment.
Airports and Airlines: Staff
Debate between Baroness Vere of Norbiton and Lord Londesborough(1 year, 9 months ago)
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Lord Londesborough (CB)
My Lords, does the Minister agree that the Heathrow monopoly is in the hands of owners who put the interests of shareholders far ahead of customers? Dividends of £4 billion have been drawn out in the last 10 years and the airport has been saddled with £16 billion of debt. Now it wants the regulator to approve hikes in passenger charges of well over 50%, in the midst of the most abject and abysmal service.
Baroness Vere of Norbiton (Con)
I reject the noble Lord’s comment that London Heathrow has a monopoly. There are eight slot-restricted airports in England and many other airports beyond that. I simply say to airlines: if you do not like Heathrow, go elsewhere.