UK Plans £20.4B Capital Boost for State Lenders in Budget, FT Reports

Britain will provide £20.4B ($27.3B) in additional capital to its state-backed infrastructure bank and business lender in next week's budget, the Financial Times reported on Friday, citing the UK Treasury. Under the reported plan, the Treasury will allocate £15.4B ($20.6B) in extra capital to the National Wealth Fund and £5B ($7B) to the British Business Bank over roughly half a decade. The Treasury told the FT that the capital injection is projected to help support around 100,000 jobs by 2035 across targeted sectors including artificial intelligence, defense, and green energy. Finance Minister John Healey is expected to formally unveil the measures in Wednesday's budget, though the Treasury did not immediately respond to a Reuters request for comment outside regular business hours. "This additional capital will help more British businesses fulfil their potential, while getting investment behind the industries, infrastructure and places that create good jobs and drive lasting growth across the country." — UK Treasury Spokesperson