The government has launched a new infrastructure bank aimed at tackling climate change and levelling up the country.
It is based in Leeds and will help finance projects in sectors including clean energy, transport, digital, water and waste.
The UK Infrastructure Bank will have an initial £12bn of capital to deploy and will be able to issue £10bn of government guarantees.
According to the government this should help unlock more than £40bn of overall investment.
It was first announced alongside the Spending Review last November and will work with local government and the private sector.
The bank replaces the UK’s participation in the European Infrastructure Bank following the country’s departure from the European Union.
It is part of the government’s national infrastructure strategy and complements the Infrastructure and Projects Authority (IPA) and the National Infrastructure Commission.
This is part of the government’s plan to deliver over £600bn in gross public sector investment over the next five years.
That aims to be the highest sustained levels of public sector net investment as a proportion of GDP since the late 1970s.
Chancellor Rishi Sunak said: “Opening its doors today, the UK Infrastructure Bank will accelerate our ambitions for tackling climate change and levelling up, while creating new opportunities across the UK as part of our plan for jobs.
“Through the bank, we are investing billions of pounds in world class infrastructure that will support people, businesses and communities in every corner of the UK.”
Commenting on the launch the bank’s chair Chris Grigg said: “The new UK Infrastructure Bank is open for business. I am delighted to be leading this institution, which will be a catalyst for investment to support regional economic growth and net zero ambitions.
“I look forward to building strong partnerships with project sponsors, institutions and local leaders.”
Yesterday a report from the Taskforce on Innovation, Growth and Regulatory Reform (TIGRR) set out more than 100 recommendations for how the UK can reshape its approach to regulation.
These include making “sensible changes” to pensions and insurance regulation, such as allowing pension schemes to invest in start-ups.
TIGRR is led by former Tory leader Sir Iain Duncan Smith, along with Theresa Villiers, and George Freeman.
