HM Treasury launched the bank in June 2021 to fund projects that will help tackle climate change and boost regional economic growth. In particular it has been asked to prioritise five sectors: clean energy, transport, digital, water and waste.
Headed up by former HSBC chief executive John Flint, it was created partly in response to the UK’s exit from the European Investment Bank infrastructure following Brexit. It has been allocated £22bn in public funds for the first five years of its life for equity investments, loans, and guarantees to support infrastructure projects.
The NAO found that the Treasury had “truncated some important elements of the usual process or deferred them until after launch” in order to set up the bank as quickly as possible. It is therefore relying on temporary staff while it recruits for permanent positions.
It has also not yet set a go-live date for one of its key functions, which is to advise and support local authorities. The...