NPIF II boosts Northern economy with £50m worth of investment since launch

The milestone highlights the British Business Bank’s commitment to supporting smaller businesses across the North to secure crucial funding for growth.

A North East business to have successfully secured NPIF II funding is Stockton-on-Tees-based Southern Asset Management, a leading provider of specialist structural testing and asset management of lighting columns (streetlamps), masts, signs and structures in Teesside.

Southern Asset Management received a six-figure loan from NPIF II – NEL Debt Finance to expand into new markets, including onshore wind turbine testing and rail sectors, to support the UK’s green energy transition.

Elsewhere in the North East, PervasID, a radio frequency identification technology innovator, completed a £750,000 investment from NPIF II – Maven Equity Finance. The business, operating in Durham, will use the finance to expand its customer base and support its ongoing R&D efforts to enhance its software.

The £660m Northern Powerhouse Investment Fund II covers the entire North of England, providing loans from £25k to £2m and equity investment up to £5m to help a range of small and medium-sized businesses to start up, scale up or stay ahead.

The Northern Powerhouse Investment Fund II aims to build on the success of the first fund, with the purpose of driving sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses across the North.

Ken Cooper, managing director at the British Business Bank, said: “From asset management firms contributing to a green economy, to innovative tech companies, NPIF II is already having an impact across all parts of the North of England.

"Our region is home to some truly innovative businesses, and we want to ensure that every ambitious entrepreneur has the right support and finance to help their business to thrive. Now covering the entirety of the North East, even more businesses have the opportunity to take their growth to the next level.

“The finance from NPIF II, and the work of our fund managers, is already boosting regional economies and creating opportunities for local entrepreneurs. We have supported some great businesses so far, and we look forward to seeing the continued impact of NPIF II as it approaches its first year in operation.”

The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire North of England and provides loans from £25k to £2m and equity investment up to £5m to help a range of small and medium-sized businesses to start up, scale up or stay ahead.

The purpose of the Northern Powerhouse Investment Fund II is to drive sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses across the North of England.

The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for the North’s smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.