Green Bank call linked to devo talks

THE siting of the Green Investment Bank (GIB) is set to become a political football as the coalition deliberates over where to base it.

Campaigners who are lobbying the Department for Business Innovation and Skills (BIS) to situate the bank in Edinburgh believe Westminster will use it as a bargaining chip in negotiations with Holyrood over devolved powers.

Graham Birse, the deputy chief executive of the Edinburgh Chamber of Commerce and a key member of the Edinburgh Green Investment Bank Group, said campaigners would be "naive" not to consider this as part of the UK coalition's deliberations.

Birse said: "Ministers have the opportunity to demonstrate their confidence that Edinburgh can deliver on behalf of the UK and become the centre for green investment for the forseeable future. But on the other hand, it could give the UK government an opportunity to show what the benefits are of being part of a secure union."

Joe Moran, senior parliamentary assistant to Liberal Democrat Mike Crockart, MP for Edinburgh West, who is involved with the campaign, said: "It does give the UK government an opportunity to show what benefit Scotland derives from the union."

Last week MPs from a number of English and Welsh cities appealed to Business Secretary Vince Cable to situate the bank in their constituencies, including Bristol, York, Nottingham and South Wales.

It is thought Edinburgh is the only city to have made a formal presentation to Cable, BIS and Secretary of State for Scotland Michael Moore, who backs the campaign.

London along with Edinburgh is a frontrunner to host the GIB, due to its concentration of project finance expertise and funding institutions.

The campaign is being led by Ron Hewitt, chief executive of Edinburgh Chamber of Commerce, Crockart, and Mark Lazarowicz, Labour MP for Edinburgh North and Leith. The business case was prepared by Nathan Goode, a partner at Grant Thornton.