London on Monday evening announced a series of measures to boost its strong financial sector in the hope of channeling tens of billions of pounds from pension funds into British businesses, AFP reported.

This was announced during the annual address of the British Chancellor of the Exchequer Jeremy Hunt to the British business community at Mansion House, the official residence of the Mayor of London.

The Chancellor of the Exchequer (Hunt’s official title) referred in particular to an agreement brokered under his auspices and that of Lord Nicholas Lyons between major British pension funds to distribute 5% of their assets to unlisted companies.

The initiative could unlock “up to £50bn of investment” by 2030 if other funds get on board, Hunt estimated late on Monday.

The priority of the British authorities is the fight against inflation, which is the highest among the G7 countries, and the increase in interest rates by the Bank of England increases the risk of recession in the economy.

“It is imperative (…) that we bring inflation down to the 2% target, which will ‘provide an environment of price stability in which the UK economy can thrive,'” said Andrew Bailey, governor of the Bank of England, who also spoke on Monday evening at the Mansion House.

But long-term growth is the government’s second priority, and this will be supported by “Britain’s financial strength, which will deliver a higher standard of living for Britons and better funding for public services”, Hunt said.

On Monday night, the chancellor also announced a new pension fund system aimed at boosting incomes for retirees.

According to a government press release, funds with lower returns than others may be forced by the sector regulator to be “grouped into larger and more efficient schemes”.

The British government is also planning to make it simpler and easier for companies to list on the stock exchange, as the number of candidates on the British market fell last year.

London will also create a new type of financial center “that will allow unlisted companies to access capital markets without a listing” to support their growth.

Miles Selick, director of TheCityUK, one of London’s leading financial lobby groups, said the financial center welcomes these “ambitious, pragmatic and necessary” announcements, which “will underpin the future success of the sector in the UK”.