LONDON, Dec 4 (Reuters) - Six asset managers will investabout 9 billion pounds ($14 billion) over the next five years inBritish firms following tax changes, a funds industry body saidon Thursday.
Britain's finance minister George Osborne announced onWednesday a new exemption from withholding tax for interest onprivate placements, a form of long-term, non-bank debt financingfor smaller firms and infrastructure projects.
The Investment Management Association (IMA) said on Thursdaythat Allianz Global Investors, Aviva, Friends Life, Legal andGeneral, Prudential and Standard Life intend to make investmentsof around 9 billion pounds in private placements and otherdirect lending to UK companies.
"This measure, announced yesterday in the Autumn Statement,is a significant boost to the development of the UK privateplacement market, unlocking crucial capital for UK businesses,"IMA Chief Executive Daniel Godfrey said in a statement.
(1 U.S. dollar = 0.6380 British pound) (Reporting by Huw Jones; editing by Jason Neely)