MPs press for new green bank to be based in city

Published on Thursday 14 October 2010 12:41

CITY MPs are joining forces in a cross-party campaign to make Edinburgh the home of the UK Government's proposed green investment bank.

The new bank, which would put up government funds to attract private cash to develop renewable energy technologies, is still in the early stages of planning but Edinburgh West Liberal Democrat MP Mike Crockart has tabled a motion in the House of Commons arguing the case for the bank to be based in the Capital.

He is being backed by city Labour MPs Mark Lazarowicz, above, Sheila Gilmore and Ian Murray.

They claim Edinburgh's expertise in banking and the presence of renewable energy companies here make it the ideal place for the new bank.

The city's Chamber of Commerce is also putting together a business case to back the call.

An independent commission said in June there was an urgent need for a public financial institution to unlock the investment required for Britain to deliver a low-carbon economy. It estimated that 550 billion could be needed to meet UK renewable energy targets by 2020.

Mr Crockart said: "It's still up for grabs where it will be sited. We have a lot of financial experience in Edinburgh and we have a stake in renewable energy too, with tidal power companies in Edinburgh and wind generation manufacturing in Fife. That makes Edinburgh the perfect base."

Mr Crockart acknowledged the bank itself would not employ a huge number of people, but he said: "It's just setting the scene that would bring in a lot of other jobs around it."

Mr Lazarowicz, MP for Edinburgh North & Leith, said he believed the Capital had a good chance of securing the bank: "It would give a really positive boost to both the financial services sector and the environmental sector, which promises to be a big source of employment in the future."

Ron Hewitt, chief executive of Edinburgh Chamber of Commerce, said: "Edinburgh is well placed to locate this bank because we have this huge asset of renewable energy in wind and waves and a lot of very large fund managers who might be interested in supporting these activities."