Almost 450 businesses across the North of England have benefitted from investments of £173 million from regional fund manager FW Capital.

Through NPIF – FW Capital Debt Finance, which is part of the Northern Powerhouse Investment Fund, the investments have attracted £230 million co-investment from the private sector, totalling an impact of over £400m on the Northern economy.

Since the fund was launched in 2017, the funding has led to the creation and safeguarding of almost 5000 jobs.  2020/21 proved to be the most active year, with 115 businesses securing £36 million of funding through the Coronavirus Business Interruption Loan Scheme.

Key sectors to secure investments from NPIF-FW Capital include manufacturing, wholesale and retail trade, construction and firms in the scientific and technical advances industry.

Mike Owen, Chief Executive at FW Capital said: “Access to finance is critical to stimulating business growth, innovation, and job creation, and it’s been rewarding to see how our investments have made a real difference to SMEs across the North.

"Demand for alternative finance was such that our initial allocation of £102m in 2017 increased to £173m over the course of the fund enabling us to support more businesses and reach higher levels of job creation and growth. We’ve supported a variety of firms across the North and enjoyed working with the team at the British Business Bank to deliver valuable finance to high growth companies.”

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Keira Shepperson, Director, British Business Bank said “FW Capital reaching a milestone of delivering £400 million impact to businesses across the North demonstrates our commitment to driving sustainable economic growth. With the upcoming launch of NPIF II, we’re looking forward to continuing this legacy, providing the springboard for businesses across the region to prosper.”

NPIF – FW Capital Debt Finance provided loans in the NPIF region with a focus on Tees Valley, Cumbria, Cheshire, Greater Manchester, Lancashire and Merseyside.

The current Northern Powerhouse Investment Fund investment phase has now completed with the British Business Bank launching the Northern Powerhouse Investment Fund II this month.

In total across all funds, the Northern Powerhouse Investment Fund has invested over £456m across 1823 deals since its launch in 2017. These deals have attracted an additional £670m of investment from the private sector, giving a combined value facilitated by NPIF of over £1bn.

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.

What does FW Capital do?

 

FW Capital manages the £19m SWIF – FW Capital Debt Finance fund, party of the £200m South West Investment Fund, on behalf of the British Business Bank. Finance of £100,000 to £2million is available to businesses in Bath and North East Somerset, Bristol, Gloucestershire and Wiltshire.

 

FW Capital manages the £30m IFW – FW Capital Debt Finance fund, party of the £130m Investment Fund for Wales, on behalf of the British Business Bank. Finance of £100,000 to £2million is available to businesses in across Wales.

 

The North East Property Fund offers short-term loans for small and medium-sized construction and property development companies.

Loans from £250,000 up to £2million are available for residential and non-speculative commercial developments in Tyne& Wear, Northumberland, and County Durham.

FW Capital manages the £20 million North East Property Fund, supported by investment from the North East LEP.

 

The North East Commercial Property Fund offers loans for small and medium-sized construction and property development companies.

Loans from £1million up to £7million are available for speculative and non-speculative commercial developments in Tyne& Wear, Northumberland, and County Durham.

FW Capital manages the £35 million North East Commercial Property Investment Fund on behalf of the North East LEP.