£10 million fund established to drive private investment in environment

A new government fund of £10 million has been set up for local authorities, businesses and non-profit organisations to drive investment in the environment.

Grants of up to £100,000 will be offered to schemes that both benefit the environment, as well as having potential to attract further private sector investment. The newly announced Natural Environment Investment Readiness Fund will help organisations to develop a pipeline of projects in England suitable for attracting outside investment. Examples provided by government of suitable projects for the grants include:

• creation of new woodlands or peatland restoration, that can also be used by companies to help offset carbon emissions as well as generating habitats for wildlife and green spaces for the public.
• restoration of river systems to improve water quality and reduce flood risk
• creation of coastal wetlands or other habitats that can generate revenue through eco-tourism.

The fund – which will be open for applications until 26 March – will help deliver on commitments in the government’s 25 Year Environment Plan and Green Finance Strategy, as well as supporting the Prime Minister’s plans for a Green Industrial Revolution to aid economic recovery from the coronavirus pandemic.

Emma Howard Boyd, Chair of the Environment Agency, said:

The Government are calling for a green industrial revolution at the same time that investors, including people saving for their pensions, are looking for economic returns that reverse natural decline and manage climate shocks.

“There are already examples of this happening, but the global economy needs more evidence if it is going to reach a tipping point that mobilises trillions of dollars towards nature. This fund will help, demonstrating funding models that can be replicated, providing long-term benefits for the economy and the environment, and showing UK leadership ahead of COP26.”