A new £130m fund to back the growth of Welsh firms from the British Business Bank will be operational this autumn
IN BRIEF:
- The Welsh fund was first announced by Rishi Sunak, then as chancellor, in the 2021 Autumn Statement.
- A competitive tendering process for those seeking to manage what will be debt and equity pots within the fund will be launched in March
- While still to be finalised, the fund is expected to have a similar profile to a new fund for the south-west of England from the British Business Bank, with micro-loans up to £100,000, another for debt funding up to £2m and then an equity investment element
What does this mean?
Louis Taylor, British Business Bank CEO, said “the really important thing about the £130m, is that it should reach a good number of people. So, doing say £10m of equity for North West Wales and then doing a single £10m deal is not what it is about. There will be an oversight board and that will include local representation to hold our feet to the fire. There will be a set of aspirations about the number of companies we help, the average size of the transaction, whether that is debt or equity.”
