Coalition Urges UK to Expand National Wealth Fund

A coalition of unions, think tanks, environmental groups, and charities is calling on the Government of the United Kingdom to expand the financial capacity of the National Wealth Fund (NWF). The group, which includes the Trades Union Congress, Greenpeace, and the World Wildlife Fund, proposes transforming the fund into a national development bank to increase investment in home retrofitting, regional small businesses, and green industries in deindustrialized areas.

This request arrives as Prime Minister Andy Burnham considers borrowing more for infrastructure by introducing flexibility into fiscal rules. Chancellor John Healey is currently preparing the October 28 budget, which will likely address these fiscal priorities.

A Treasury spokesperson defended the current scale of the NWF, noting that the fund delivered 3.9 billion pounds in investments during its first year. These projects include the Sunderland gigafactory and Sizewell C. The Treasury further claimed the fund secured 11,500 jobs and generated 5.25 billion pounds in private finance, while the coalition argues that scaling the fund beyond its current 5.5 billion pound annual capacity is necessary to rebalance the economy.