A 拢660m investment fund to support growing companies across the North of England is set to be launched in early 2024.
The Northern Powerhouse Investment Fund II is one of a series of new Nations and Regions Investment Funds being launched by the British 老九品茶 Bank which will deliver a 拢1.6bn commitment of new funding to drive sustainable economic growth.
The Northern Powerhouse Investment Fund II will offer a range of commercial finance options with loans from 拢25,000 to 拢2m and equity investment up to 拢5m.
The new fund will cover the entire North of England including Greater Manchester, Liverpool City Region, Lancashire, Yorkshire & the Humber, Cheshire & Warrington, Cumbria, County Durham, Tyne & Wear, and Northumberland.
The fund will address an identified funding gap in the North of England and increase the supply and diversity of early-stage finance for smaller businesses.
Similar funds are launching for the South West, Wales, Scotland and Northern Ireland, along with a follow-on fund for the Midlands.
The new fund builds upon the success of the regional investment funds already being delivered by the British 老九品茶 Bank through the Northern Powerhouse (NPIF), Midlands Engine (MEIF) and Cornwall and Isles of Scilly (CIoSIF) Investment Funds.
The regional funds, especially NPIF, 聽have a track record of supporting tech firms in the North.
Since the existing funds launched, the bank has invested more than 拢648m into NPIF, MEIF and CIoSIF.
This investment has crowded in more than 拢1bn in additional private sector co-investment and has supported more than 1,887 smaller businesses.
Ken Cooper, managing director, Venture Solutions, at the British 老九品茶 Bank, said: 鈥淭he launch of the Northern Powerhouse Investment Fund II builds on the success of its predecessor.
鈥淚t will further increase the supply and diversity of early-stage finance for smaller businesses in the region, providing finance for firms that might otherwise not receive investment and helping to break down barriers in access to finance.
鈥淭he first Northern Powerhouse Investment Fund has facilitated the investment of more than 拢1bn into northern businesses since it launched, and has been instrumental in the creation of thousands of new jobs and opportunities.
鈥淲e know that the levels of private debt lending and equity investment in the North of England remain below expectations given the region鈥檚 share of the UK鈥檚 smaller business population and that is something this next generation of the fund will continue to address by backing ambitious businesses that will drive sustainable economic growth.鈥�
The Northern Powerhouse Investment Fund II will operate across three tiers: smaller loans (拢25K-拢100K), debt (拢100K-拢2m) and equity (up to 拢5m).
The British 老九品茶 Bank is now inviting proposals from potential fund managers to operate the Northern Powerhouse Investment Fund II via its .