Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what UK Government Investments Ltd.'s targets are for (a) rates of return, (b) dividends and (c) capital investment.

UK Government Investments (UKGI) provides governance and corporate finance expertise to UK Government departments in support of their policy objectives.

UKGI performs the shareholder function for a portfolio of arm’s length bodies (ALBs) on behalf of government departments.

The targets and objectives for the individual ALBs within UKGI’s portfolio are set by the relevant department.

Whilst some of these bodies return dividends, others exist to deliver public services such as National Highways.

For example, the UK Infrastructure Bank (UKIB) is an ALB within UKGI’s portfolio. HM Treasury (HMT) are the sponsor department for UKIB and own the shares in UKIB. UKGI advise HMT on corporate governance and act as HMT’s representative on the Board. HMT set relevant targets for UKIB, including a return on equity target of 2.5% - 4% by the end of the financial year 2025-26 (Link here).