The UK Parliament’s Treasury Committee has launched an inquiry into the Government’s National Wealth Fund (NWF) to assess whether it has the tools and backing to mobilise private investment and stimulate economic growth, and how its independence will work in practice. The review will examine how the NWF, launched in October 2024 and owned by HM Treasury but operating wholly independently, is likely to differ from its predecessor, the UK Infrastructure Bank, and what steps will ensure value-for-money before investment decisions are made. It will also consider the Chancellor’s strategic objectives for the NWF of supporting regional and local economic growth and tackling climate change, alongside the Government’s stated priority sectors for investment of clean energy, advanced manufacturing, digital technologies and transport. Other issues include how the NWF will interact with other parts of the public sector on major infrastructure, how it can crowd in rather than crowd out private sector investment, the criteria it should be judged by, and the risks of poor value-for-money projects and potential public costs due to defaults on loans it is guaranteeing, including implications of its accounting treatment under Net Financial Sector Liabilities. The call for evidence is open until Monday 21 April.
UK Parliament 2025-03-24
UK Parliament Treasury Committee launches inquiry into the Government’s National Wealth Fund and opens call for evidence
The UK Parliament’s Treasury Committee has launched an inquiry into the National Wealth Fund (NWF) to evaluate its ability to mobilize private investment and stimulate economic growth. The review will assess the NWF's independence, differentiation from the UK Infrastructure Bank, and alignment with strategic objectives like regional growth and climate change. It will also explore the NWF's interaction with the public sector, evaluation criteria, and risks related to value-for-money and loan defaults.