Launched in 2017, the Northern Powerhouse Investment Fund is designed to help SMEs secure funding for growth and development. Tony McDonough reports

A Euro-backed investment fund for small and medium-sized businesses has injected more than £30m into Merseyside firms in the past three years.

Launched in 2017, the Northern Powerhouse Investment Fund (NPIF) is designed to help SMEs secure funding for growth and development. It is delivered by the British Business Bank and offers equity finance, debt finance and microfinance, ranging from £25,000 to £2m.

Of the £30m invested so far, £15m has been invested directly and the remainder leveraged through the private sector via organisations such as Liverpool-based MSIF. It has comprised 80 transactions to 72 businesses in the Liverpool city region.

Investments include an equity funding package for RedWigWam, a temporary work booking platform. Led by chief executive Lorna Davidson, the Baltic Triangle-based business secured investment from NPIF – Maven Equity Finance to expand its marketing and PR activities, continue development of its platform, and increase staffing.

Liverpool Laser and Tube (LLT) secured a £50,000 investment from NPIF – BFS & MSIF Microfinance. LLT is a new manufacturing company set up to establish a hi-tech manufacturing facility in Knowsley to meet the growing demand for laser cutting, metal forming and fabrication services..

NPIF has also been providing funding support for businesses in Liverpool city region that have been impacted by the COVID-19 pandemic.

General Trade Maintenance – which trades as GTM Property Maintenance – is a maintenance service provider to the social housing and care sector and had a healthy forecast of work scheduled for the year.

However, after its supply chain suffered severe impact from the crisis, the company was forced to close. After receiving a £250,000 CBILS backed loan from NPIF – FW Capital Debt Finance, the firm was able to reopen and bring furloughed staff back to work.

Ken Cooper, managing director at British Business Bank, said: “The business landscape in the Liverpool city Rregion has continued to improve in recent years and we are pleased to have been a part of that journey.

“Supporting 72 innovative businesses with more than £30m of investment in the region is a testament to the effective collaboration between the British Business Bank, the Local Enterprise Partnership, the Growth Hub and other stakeholders in the region.”

NPIF is supported financially by the European Union using funding from the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.