NPIF II reaches milestone of £180m invested in over 300 Northern businesses
The Northern Powerhouse Investment Fund II (NPIF II) has announced a major milestone, with over £180m directly invested in more than 300 small businesses across the North of England. This includes £115m from NPIF II and an additional £68m from private sector co-investment.
Since its launch, NPIF II has completed over 315 deals, providing vital support to businesses in driving sustainable economic growth and promoting innovation in the region. The Fund focuses on a diverse range of sectors, including advanced manufacturing, digital and technology businesses, and the creative industries, in line with the Government’s eight priority key sectors.
Managed by the British Business Bank, NPIF II is a £660m fund that offers loans and equity finance options for smaller businesses in the North that may not otherwise receive investment. It aims to break down barriers in access to finance by providing loans ranging from £25k to £2m and equity investment up to £5m, supporting businesses at all stages of their development.
The Fund has already completed deals with some of the most promising businesses in the North, providing them with the necessary funding to unlock growth and new opportunities. In the North West, NPIF II – River Capital & GC Business Finance Smaller Loans enabled the director and founder of Moxie Financials, Sian How, to expand her team and acquire essential working capital. The funding has allowed the firm, based in Preston, to create four new roles and focus on business development and client acquisition.
In Sheffield, leading independent bridge engineering specialist EKSPAN secured £1.4m in debt funding from NPIF II – Mercia Debt Finance to support its further growth. The company, which has been operating for over 30 years, has helped deliver some of the UK’s most high-profile bridge infrastructure projects and aims to increase its turnover by 50% in the next three years.
In the North East, Magnitude Biosciences, a specialist contract research organisation, received £700,000 in a funding round led by NPIF II – Maven Equity Finance. The funding will help the business, based in County Durham, to scale up its high-throughput screening platform and increase its capabilities in drug discovery. Based in NETPark, the company is a key player in the North East’s growing hub for digital and life science innovation.
Adam Kelly, co-managing director of Funds at the British Business Bank, said, “The Northern Powerhouse Investment Fund II plays a vital role in increasing the supply of funding available to small businesses in the North of England. With over £180m directly invested so far, over 300 businesses will be feeling the direct benefits of what access to finance can help achieve.”
He added, “This milestone is a sign of more to come and we expect a greater number of entrepreneurs to get engaged and access the funds they need to take their business to the next level.”
The purpose of NPIF II is to drive sustainable economic growth by supporting innovation and creating local opportunities for new and growing businesses across the North. It aims to increase the supply and diversity of early-stage finance for smaller businesses in the region, providing funds to firms that may not otherwise receive investment and helping to break down barriers in access to finance.
To learn more about NPIF II and how to apply for funding, visit the website at www.northernpowerhouseinvestmentfund.co.uk.
ENDS
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About the Northern Powerhouse Investment Fund II
The Northern Powerhouse Investment Fund II (NPIF II), operated by the British Business Bank, provides a mix of debt and equity funding options for smaller businesses in the North. It offers smaller loans from £25k to £100k, debt finance from £100k to £2m, and equity investment up to £5m.
NPIF II works alongside the Combined Authorities, Local Enterprise Partnerships (LEPs), Growth Hubs, and local intermediaries such as accountants, fund managers, and banks to support smaller businesses at all stages of their development.
The funds in which NPIF II invests are open to businesses with operations or plans to open operations in Cheshire, Cumbria, Greater Manchester, Lancashire, Merseyside, City of Kingston upon Hull, East Riding of Yorkshire, North Yorkshire, South Yorkshire, West Yorkshire, Hartlepool and Stockton-on-Tees, South Teesside, Darlington, Durham, Northumberland, Tyneside, and Sunderland.
Supported by Nations and Regions Investments Limited, a subsidiary of British Business Bank plc, the Bank is a development bank wholly owned by HM Government. Neither Nations and Regions Investments Limited nor British Business Bank plc are authorised or regulated by the Prud