Northern fund has helped create 6,000 new jobs, report says

Independent research company SQW has looked at the Northern Powerhouse Investment Fund’s performance since its launch in 2017 and spoke to 274 SMEs that have benefited from NPIF funding.

It said that 73 per cent of them had increased workforce skills, and 62 per cent had reported additional investment in research and development.

In addition to this, 6,071 new high-quality jobs have been created through the fund – almost 1,000 more than originally planned.

It found that for 68 per cent of surveyed businesses, the NPIF investment had funded the development of new products or services. Of these, 48 per cent said their innovations would reduce carbon emissions, 52 per cent said that they would lead to broader environmental benefits, and 42% said they would improve health or the delivery of health services.

It said 74 per cent of businesses saw an increase in sales with the help of NPIF funding.

NPIF has made 1,324 investments into 983 companies totalling £318m to the end of January 2022.

Operating from the British Business Bank’s Sheffield head office, the Northern Powerhouse Investment Fund provides a mix of debt and equity funding (£25,000 to £2m).

Catherine Lewis La Torre, CEO at British Business Bank, said: “This evaluation shows that we’ve supported a wide range of businesses in every corner of the North, from rural agriculture and environmental businesses to fast-growing manufacturing and technology companies based in urban areas.”

Sir Roger Marsh OBE DL, chair of the NPIF strategic oversight board and NP11 group of Northern local enterprise partnerships, said: “Over the years, NPIF funding has enabled businesses to survive the pandemic, grow their teams, create new, innovative products and contribute to the standing of the North on the national and global stage.

“This Evaluation truly demonstrates the impact the funding can have on business growth, and sets out the success that NPIF will continue to have in the future.”

The Northern Powerhouse Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.