Guidance

Infrastructure Investment Funds

Find out about how the Infrastructure and Projects Authority (IPA) help to catalyse private sector investment in new and emerging infrastructure.

What we do

The IPA utilises its experience of working with the private sector on infrastructure and project finance to procure two infrastructure investment funds on behalf of HM Treasury - the Digital Infrastructure Investment Fund and Charging Infrastructure Investment Fund.

Both funds see HM Treasury acting as a cornerstone investor, investing alongside the private sector, on commercial terms.

The aim of each fund is to catalyse the rollout of emerging infrastructure and demonstrate government’s commitment to the sector via direct investment.

The government’s reason for deploying the money via a fund structure is to utilise the private sector’s experience of identifying the most promising development opportunities and creating new commercial models to assist with the growth of emerging sectors.

Funds we have created

Digital Infrastructure Investment Fund (DIIF)

Reaching financial close in July 2017, HM Treasury acted as a cornerstone investor by providing £400m across three funds in the establishment of the £800m DIIF.

The DIIF aims to provide capital to support the growth of the ultrafast broadband industry, particularly alternative ultrafast broadband network developers, by providing greater access to finance on a commercial basis across the capital spectrum.

Following a competitive procurement process, in which all bidders were required to demonstrate their ability and experience in both raising match funding and sourcing an appropriate pipeline of projects, three fund managers were selected to administer the fund on behalf of government.

Charging Infrastructure Investment Fund (CIIF)

Announced at the Budget 2017, the IPA was tasked, on behalf of HM Treasury, to procure a private sector fund manager to manage a dedicated £400m CIIF, where the government will invest up to £200m as a cornerstone investor alongside £200m from the private sector.

The aim of the CIIF is to catalyse the financial markets and to ensure enough capital is available to enable the rapid roll out of charging networks. This is so that charging infrastructure is not an impediment to the growth of the Electric Vehicle market in the United Kingdom.

A Request for Proposals detailing the government’s requirements with regard to the appointment of a fund manager was released in July 2017.

Contact us

Email: ciif@ipa.gov.uk

Published 23 July 2018