Member Article

Green Investment Bank goes to London and Edinburgh

The Government has announced the Green Investment Bank will be based in Edinburgh and London.

The decision is said to “enable greater commercial reach nationally than could be achieved from one location.”

It is a move that will disappoint regional bidders who have worked to promote their towns and cities as a viable site for this new institution.

Leader of Newcastle City Council, Coun Nick Forbes, said: “Naturally I am very disappointed that we have not been chosen to be the home of the Green Investment Bank, but I would like to congratulate Edinburgh.

“I believe we put together a compelling case, and our submission showcased the green credentials of not only the city but also the wider region.

“Let’s not forget that Newcastle is the UK’s most sustainable city two years running with a growing financial, professional and business sector which means we can be confident about our future.

“Despite not being chosen, we recognise the benefits the bank could bring by financing risky innovative projects that will lead the transformation of the UK to a green economy, many of which will be led by, and take place in, the North East.

Councillor Paul Watson, leader of Sunderland City Council, said: “We would like to see more decision-making outside of London and believed here was an opportunity to achieve that in Sunderland.

“Sunderland can still be a gateway to offshore wind technology, is at the forefront of low carbon automotive production and a leader in broadband and cloud technology.

Neil McLean, Chair of the Leeds City Region LEP, said: “We are naturally disappointed that the Green Investment Bank will not be coming to the Leeds City Region.

“However, we can be proud of the strong bid that we submitted, which was the result of significant hard work and collaboration by the public, private and third sectors.”

Councillor Paul Watson, leader of Sunderland City Council felt that his city put in a strong and considered bid, highlighting the city’s green and low carbon credentials, and those of the North East.

He commented: “ We felt the Green investmenr Bank represented a good opportunity to break the hold that national capitals have on business and corporate financing.

Nevertheless, we and all our partners in the bid will look forward to working with the bank at its chosen locations as we continue to show the world that we’re a city that’s open to and for business.“

Business Secretary Vince Cable said: “Harnessing the strengths of Edinburgh and London will support the Green Investment Bank’s ambition to become a world leader.

“Edinburgh has a thriving green sector and respected expertise in areas such as asset management. London, as the world’s leading financial centre, will ensure that the GIB’s transaction team can hit the ground running.

“This decision will allow the GIB to operate effectively and achieve its mission of mobilising the additional investment needed to accelerate the UK’s transition to a green economy.”

The next stage for the Bank is to recruit a Chair and Senior Independent Director so that it will be fully operational by this Autumn.

This was posted in Bdaily's Members' News section by Tom Keighley .