Natwest pledges 20bn for the North of England as banks bet on devolution to drive growth

"NatWest Group has thrown its weight behind the North of England, pledging £20 billion of funding over the next decade in what stands as one of the largest single regional commitments by a UK lender in recent memory, and a calculated bet on Britain's devolution settlement to deliver returns the centre has so far struggled to produce."

"The commitment, unveiled by chief executive Paul Thwaite at today's Great North Investment Summit in Leeds, will channel capital into housing, transport, energy generation, grid upgrades and climate resilience across the region. Convened by the northern metro mayors and sponsored by NatWest, the summit marks the first formal pitch from The Great North partnership, which aims to add £118 billion to UK plc by unlocking the region's investment pipeline."

"For a bank that has only recently returned to full private ownership, the move signals a clear strategic pivot. Where high street lenders have traditionally followed economic gravity towards London and the South East, NatWest is now wagering that the most established mayoral combined authorities, and the deal flow they convene, offer the best risk-adjusted return on patient capital."

"The funding will be deployed across four priority areas: housing and the built environment, mobility and transport, energy and power systems, and climate resilience. NatWest says it will deliver this through a mix of direct lending, risk-sharing with delivery partners and the mobilisation of third-party institutional money - a coordinating role the bank believes is increasingly necessary as projects grow in scale and complexity."

NatWest Group will provide £20 billion of funding over the next decade for the North of England, one of the largest regional commitments by a UK lender in recent memory. The funding will support housing, transport, energy generation, grid upgrades, and climate resilience. The commitment was unveiled at the Great North Investment Summit in Leeds, convened by northern metro mayors and sponsored by NatWest. The Great North partnership aims to unlock the region’s investment pipeline and add £118 billion to UK plc. NatWest plans to deploy capital through direct lending, risk-sharing with delivery partners, and mobilising third-party institutional money. The pledge builds on a £10 billion national housing lending ambition and aligns with the Growing Together plan to back “powerful regions.”

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