The UK has emerged as the world’s most attractive destination for renewable energy investment in a new global survey conducted by Octopus.

The respondents consisted of institutional investors, such as pension funds, insurance companies and private banks, with a combined portfolio worth $6.8 trillion.

Of the roughly two thirds (67 per cent) already invested in the sector, more than half (55 per cent) considered the UK a priority for further spending – the highest proportion for any country or region.

Of the remaining third, 61 per cent said they would consider investing in the UK – another high for the survey. Only 18 per cent said the opposite.

The organisations surveyed expect to spend $210 billion globally on renewable energy assets over the next five years, with vast majority ($197 billion) coming from existing investors.

Top ten most attractive destinations for those not currently invested in the renewables sector

Source: Octopus

In a report outlining the findings, Octopus describes the UK as “hotbed” for renewable energy investment.

“Europe, and particularly the UK, presents attractive characteristics for renewable energy investors,” the report states. “The region offers diversification, security and the ability to tailor investments, giving access to a spectrum of risk profiles across a wide pool of assets.”

Matt Setchell, co-head of energy investments at Octopus, said: “Institutional investors are waking up to the investment opportunity that comes with securing a renewable future. There is much to celebrate in the report.

“However, while institutional investors’ contributions are on the increase there remains a long way to go to plug the funding gap. We cannot afford to view increased allocations as ‘job done’.

“More needs to be done to unblock investment to help tackle climate change. Acting now is not an option; it is a necessity.”

Octopus in the parent company of the supplier Octopus Energy.