Chief Executives and other senior figures from major UK investment institutions, representing over £500 bn(1) in assets under management, have written together to the Prime Minister welcoming the creation of a UK Green Investment Bank.

The seven senior executives highlight the significant investment needed in low carbon infrastructure in the UK and express interest in considering future investments in the Bank’s securities. They say that a Green Investment Bank “could play an important role to enable and accelerate this major low carbon investment”.

The initiative was convened by UKSIF, the sustainable investment and finance association.

(1) At 30 June 2010 or later

Read the full press release.

Read the UKSIF Green Investment Bank Investor Letter.

Commenting on government funding for a Green Investment Bank in today’s Comprehensive Spending Review, Penny Shepherd MBE, chief executive of UKSIF, said:

 “The government’s commitment to provide significant additional capital from asset sales could be the most important part of today’s Green Investment Bank announcement. While welcome, the initial £1bn of funding is clearly not sufficient alone.

“However, given the urgency of developing a green investment market at scale, it is alarming that the initial funding will not be available until 2013. This may delay the credit rating and track record that the GIB will need to raise major tranches of additional capital through bonds issued to institutional investors.”

Read the full press release.