What does this mean?
The Green Investment Bank (GIB), which was set up by the UK government just five years ago has been sold to Macquarie Bank, with a total value of £2.3bn.
The Treasury has managed to secure £1.7bn, a further £600m of liabilities have been passed on to the Australian firm.
The bank was set up to help fund renewable and low-carbon projects, it has invested around £800m per year so far.
The new deal with Macquarie should see this number rise to £3bn per year over three years.
Lord Smith of Kelvin, chairman of the GIB, said: “Macquarie has made significant and important commitments to the UK government to maintain GIB as a discrete entity within its business, maintaining GIB’s investment focus and approach with a target to invest more capital each year than GIB has historically.”
Lord Smith also added: “Macquarie will also uphold GIB’s green investment principles and report transparently on GIB’s green impact.
“Macquarie will utilise the market-leading expertise of the existing GIB team and will build on GIB’s deep commitment to Edinburgh.”