Source · Select Committees · Environmental Audit Committee

Recommendation 22

22 Deferred Paragraph: 128

Publish a single document detailing all blended finance models for net zero and nature

Recommendation
The Government must keep to its ambition of setting out its future plans for net zero blended finance solutions by the next spending review, and should include nature recovery projects within this suite of solutions. The Government should set out in one document all its different blended finance models, cross-checking them against its various sector roadmaps both to ensure that solutions are targeted towards the investment gaps that need to be filled, and also to ensure that institutions such as UKIB are supporting the right projects with appropriate levels of investment.
Government Response Summary
The government announced the Net Zero Blended Finance Project in November 2023, which aims to improve its capacity to explore innovative blended finance approaches and mobilise private investment for net zero technologies. However, the response does not explicitly commit to setting out future plans by the next spending review, including nature recovery projects, or consolidating all models into one document for cross-checking.
Paragraph Reference: 128
Government Response Deferred
HM Government Deferred
In November 2023 we announced the Net Zero Blended Finance Project. The project aims to improve the capacity and expertise of the Government to explore innovative blended finance approaches in funding designs for net zero technologies, mobilising additional private sector investment to support the UK’s transition to net zero. The project will consider how best to target blended finance approaches to address investment gaps as appropriate, and this will include working closely with UK Infrastructure Bank alongside other public finance institutions. As this work develops, we will consider how best to keep the market informed.