The government should consider ways to increase self-invested personal pension (SIPP) investment in unquoted investments in a bid to boost economic growth, a blueprint submitted by Mill Group says.
The plans - submitted to HM Treasury by the investment group last month - were designed to save local businesses and create thousands of new jobs by removing the barriers for SIPPs to invest in unlisted companies.
Mill Group founder and chief executive David Toplas explained: "The Chancellor needs the economy to bounce back from lockdown as quickly as possible to get the nation back to work. The government's loans have helped companies survive lockdown so far, but they have to be paid back eventually, so what companies really need is more equity investment. Our innovative plan is designed to do just that, while also saving the High Street and helping level-up the hard-hit economies across the UK."
Toplas added: "Business investment is desperately needed to help every British company rebuild - and not just on the High Street or the last butcher shop in the village. With personal pension wealth now totalling some £6.1trn, just a fraction of it could easily fill the gap and avoid the need for austerity and tax rises."