Economy

Investment Institutional net investment falls Total net investment - £billion Total net investment by institutions was £11.1 billion in the second quarter of 2003, £7.0 billion lower than the figure for the first quarter. There were falls in net investment in short-term assets, UK company securities and other assets. Net disinvestment in short-term assets was £2.7 billion in the second quarter compared to net investment of £3.7 billion in the first quarter.

Net investment in UK company securities and other assets fell by £1.0 billion and £3.1 billion respectively. These decreases were partly offset by increases of £1.5 billion and £2.0 billion in net investment in overseas securities and British government sterling securities respectively. In the second quarter of 2003 net investment by long-term insurance funds was £2.0 billion, £7.2 billion lower than in the first quarter. General insurance funds’ net investment increased by £0.4 billion to £2.4 billion in the second quarter.

Net investment by self-administered pension funds decreased by £2.9 billion to £3.5 billion. Investment trusts’ net investment rose by £0.2 billion while net investment by unit trusts and property unit trusts increased by £3.0 billion from £2.5 billion in the first quarter to £5.6 billion in the second quarter of 2003.