Welcome to the 2025 CT UK Social Bond Fund Annual Social Performance Report. As at 30 June 2025, the Fund managed £394 million in assets across 153 bonds from 102 issuers, continuing its mission to deliver positive social outcomes primarily in the UK.
While the UK economy shows signs of renewed stability, structural pressures remain. Rising costs associated with demographic change, increased public expenditure needs, and the relocation of some UK businesses abroad continue to create challenges for government, industry, and households alike. Against this backdrop, the Fund social objective remains integral: to support more inclusive, sustainable and regionally balanced development primarily in the UK.
The Fund has built a strong track record, with its scale enabling material positive social good and its strategy remaining distinctive as one of the few vehicles dedicated to listed bonds in the UK. Current investment allocation to bonds rated Medium and High by social performance now comprise 90% of the portfolio. Active and engaged, the Fund team works closely with issuers to ensure capital is directed where it can have the greatest long-term outcomes, with a focus on the additional social benefits of bonds inclusive of the perspectives and needs of affected communities.
The Fund takes a holistic approach, addressing multiple dimensions of development from health, education and employment through to environment, communication and infrastructure. This includes bringing a societal perspective to environmental issues. For example, wellinsulated housing not only lowers emissions but also improves residents’ health, wellbeing, and financial resilience through better quality homes and reduced heating costs.
As momentum builds, with institutional investors increasingly integrating impact into their strategies and a growing appetite for UK-focused investment, the Fund remains an attractive and compelling option. Over a decade on, it continues to maintain its UK focus and disciplined investment approach. The Fund is well positioned to continue directing capital to strengthen communities, support public services, and contribute to a more resilient future for the UK.