Northern Powerhouse Investment Fund
The Northern Powerhouse Investment Fund (NPIF) was officially launched earlier this year.
NPIF is a collaboration between the government-owned British Business Bank and ten Local Enterprise Partnerships (LEPs) in the North West, Yorkshire & the Humber and Tees Valley and provides commercially-focused finance to help SMEs start up and grow. It combines £400 million of funding from the UK Government, European Regional Development Fund, British Business Bank and European Investment Bank to help businesses in the region to scale-up and become a successful part of the government’s Northern Powerhouse vision.
The Northern Powerhouse Investment Fund will produce greater levels of investment, increase the focus on the potential opportunities across the Northern Powerhouse regions and provide increased flexibility in the type of funding provided. Together these will contribute to better economic outcomes for the regions’ businesses, growth and jobs.
The British Business Bank is investing £50m of its own capital into NPIF, which is being matched by an additional £50m from the European Investment Bank. Bringing allocations together into larger funds allows more resources to be targeted at businesses with growth potential across a wider area, with economies of scale meaning more money can be invested directly in smaller businesses.
The British Business Bank has worked with LEPs from the North West, Yorkshire & the Humber and Tees Valley, and with the Department for Communities and Local Government to aggregate the European Regional Development Fund money they receive for the LEP areas into a combined fund which addresses gaps in access to finance identified by local areas funds.
Find out more here