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Macquarie consortium's grip over UK gas grid questioned

Published 15/05/2023, 05:46 pm
© Reuters.  Macquarie consortium's grip over UK gas grid questioned

The government has been urged to intervene in a £3bn deal in which Australian banking giant Macquarie Group Limited could fully acquire a significant part of the UK’s gas grid, according to an article in the Guardian.

Earlier this year, a consortium comprising Macquarie Asset Management and British Columbia Investment Management Corporation purchased 60% equity in National Grid (LON:NG)'s gas transmission and meter business, valuing it at £7.5bn.

The group is now poised to buy the remaining 40% this summer. This move could trigger worries about the future of a vital part of the UK's infrastructure, as the country is transitioning towards low-carbon technologies.

Macquarie, already owning numerous UK infrastructure assets, has faced criticism over its stewardship of Thames Water and Southern Water.

Gary Carter of the GMB union is quoted by the Guardian questioning Macquarie's ability to secure the UK’s future energy supply, citing its profit-maximising approach often at the expense of investment and employee welfare.

Any further deal could be scrutinised under the National Security and Investment Act, the paper added.

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