NatWest Sale Cash Should Go to UK Sovereign Fund, Peel Hunt Says

  • Wealth fund could invest in stock market, analyst writes
  • UK expected to offload £7.5 billion NatWest stake by 2026
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The UK government should use the proceeds from selling its £7.5 billion ($9.4 billion) share in NatWest Group Plc to set up a sovereign wealth fund to help revive the country’s ailing equity market, according to Charles Hall, head of research at Peel Hunt Ltd.

“It could also be a cornerstone investor in IPOs to kick-start the market,” Hall said in a note to clients that draws on the findings of a recent research paper from London-based think tank Turning the Page. “In addition, there would likely be additional investment as other funds recognized the potential to turbo-charge the market.”