Cross party consensus is not a common occurrence at Westminster, therefore, when the politicians start to get close to an agreement there is a lot of hope that real progress can be possible. MP’s will come back from recess and have to look closely at the green investment bank (GIB) and how it fits in with the enterprise and regulatory reform bill.
The GIB was originally created in order to help business grow and the concept was created with help from the NGO alliance and Transform UK. Alistair Darling first introduced the bull in his final budget before the coalition took control of Westminster.
At the moment the GIB has a great deal of leverage they can use to hopefully get investment from the public sector which in turn should help the low carbon economy in the UK to receive a boost. However, there are some concerns over whether the GIB will be an actual bank and if it will be green.
The major concern is that Treasury does not ideologically agree with creating the GIB. Add in the fact that George Osborne is hostile to green growth, and it is clear to see that it will not be that easy to get the GIB off the ground.
Despite this fact, there has been a large amount of support for the bill getting improved and the GIB strengthened. The Liberal Democrats helped to pass a motion at the conference that asked the Government to expand the scale of the GIB.
As the bill is winding around the Commons Labour is showing its support for the bank by offering support for the law. At the moment there are two amendments on the table up for discussion: that it will be a real bank and that investors know that it is a real bank.