Green Investment Bank sale completed

29th August 2017

Web co2 shutterstock 308558309

Related Topics

Related tags

  • Renewable ,
  • Politics & Economics ,
  • Finance ,
  • UK government



The UK government has completed the sale of its Green Investment Bank (GIB) to a consortium led by the Australian-based Macquarie Group in a £2.3bn deal.

It is hoped that this will result in at least £3bn of new investment in the green economy over the next three years, surpassing the bank’s track record of £3.4bn over the four-and-half years since it was established.

The GIB will also be renamed as the Green Investment Group to overcome regulatory barriers to using the term “bank” in some international markets, allowing it to make investments overseas.

Climate change and industry minister, Claire Perry, said: “We led the world in setting up the GIB and now that it’s in the private sector, it will be able to operate on an international level to tackle the global challenge of climate change.”

Perry went on to say that the sale put the bank in a perfect position to help finance green initiatives in the UK, as well as help the country realise commitments set out in the Paris Climate Agreement.

However, an investigation earlier this year by think tank E3G and Greenpeace UK uncovered evidence that the GIB may be preparing itself for ‘asset-stripping’, behaviour Macquarie has previously been accused of undertaking in Britain.

It was found that the bank had established holding companies and multiple corporate layers within the organisation, action often synonymous with leveraging excessive debt, the stripping of assets, and tax avoidance.

Greenpeace UK policy director, Dr Doug Parr, dubbed the GIB deal a “disaster”, saying that the country had given away one of its key tools for advancing green technologies.

“The hole left by the GIB will slow our transition to a clean energy system, set us back on reaching our climate targets, and mean more of the jobs from new sectors will go elsewhere,” he said.

“If the government picks up its pace, the UK could be a world leader in renewable and green technology. But selling a great British success story to a controversial Australian bank known for asset-stripping is a disaster.”

The government said it would continue to hold an interest in a small portfolio of the GIB’s existing green infrastructure investments until they can be sold on in a way that returns best value for taxpayers’ money.


Subscribe to IEMA's newsletters to receive timely articles, expert opinions, event announcements, and much more, directly in your inbox.

Transform articles

Young people struggling to secure green jobs

Just one in 20 workers aged 27 and under have the skills needed to help drive the net-zero transition, compared with one in eight of the workforce as a whole, new LinkedIn data suggests.

18th June 2024

Read more

With a Taskforce on Inequality and Social-related Financial Disclosures in the pipeline, Beth Knight talks to Chris Seekings about increased recognition of social sustainability

6th June 2024

Read more

Disinformation about the impossibility of averting the climate crisis is part of an alarming turn in denialist tactics, writes David Burrows

6th June 2024

Read more

David Symons, FIEMA, director of sustainability at WSP, and IEMA’s Lesley Wilson, tell Chris Seekings why a growing number of organisations are turning to nature-based solutions to meet their climate goals

6th June 2024

Read more

A system-level review is needed to deliver a large-scale programme of retrofit for existing buildings. Failure to do so will risk missing net-zero targets, argues Amanda Williams

31st May 2024

Read more

Chris Seekings reports from a webinar helping sustainability professionals to use standards effectively

31st May 2024

Read more

Although many organisations focus on scope 1 and 2 emissions, it is vital to factor in scope 3 emissions and use their footprint to drive business change

31st May 2024

Read more

IEMA submits response to the Future Homes Standard consultation

31st May 2024

Read more

Media enquires

Looking for an expert to speak at an event or comment on an item in the news?

Find an expert

IEMA Cookie Notice

Clicking the ‘Accept all’ button means you are accepting analytics and third-party cookies. Our website uses necessary cookies which are required in order to make our website work. In addition to these, we use analytics and third-party cookies to optimise site functionality and give you the best possible experience. To control which cookies are set, click ‘Settings’. To learn more about cookies, how we use them on our website and how to change your cookie settings please view our cookie policy.

Manage cookie settings

Our use of cookies

You can learn more detailed information in our cookie policy.

Some cookies are essential, but non-essential cookies help us to improve the experience on our site by providing insights into how the site is being used. To maintain privacy management, this relies on cookie identifiers. Resetting or deleting your browser cookies will reset these preferences.

Essential cookies

These are cookies that are required for the operation of our website. They include, for example, cookies that enable you to log into secure areas of our website.

Analytics cookies

These cookies allow us to recognise and count the number of visitors to our website and to see how visitors move around our website when they are using it. This helps us to improve the way our website works.

Advertising cookies

These cookies allow us to tailor advertising to you based on your interests. If you do not accept these cookies, you will still see adverts, but these will be more generic.

Save and close