Question to the HM Treasury:

To ask His Majesty's Government what estimate they have made of the impact on levels of investment in UK companies of (1) requiring at least 25 per cent of all new pension contributions to be invested in UK companies, and (2) restricting the ISA allowance to cover only investments in UK companies.

The Government is committed to boosting investment in UK companies and regularly considers a broad range of proposals to achieve this.

The Government is focused on supporting an industry-led approach to increasing pension investment in a wider range of assets in order to deliver better outcomes for savers. This includes the Mansion House Accord, a voluntary commitment by major pension providers to increase default defined contribution pension scheme investment in private markets to 10 per cent, including 5 per cent in the UK.

At the Autumn Budget in 2025, the Chancellor announced a reduction in the cash ISA limit to £12,000 for people under the age of 65 to incentivise investment and deliver better returns for savers, to come into effect on 6 April 2027 We also welcomed the launch of the industry-led ‘Invest for the Future’ campaign to promote the benefits of investing to the public, and the industry-led review to reform how firms talk about the risks, and benefits, of investing.