Northern Powerhouse Investment Fund II invests £80m in North SMEs in First Year
Funding | Apr 15, 2025 | Business Cloud
The Northern Powerhouse Investment Fund II (NPIF II), a £660m initiative managed by the British Business Bank, has successfully invested over £80 million in more than 200 small and medium enterprises (SMEs) across Northern England in its first year of operation. This fund aims to break down barriers to finance for small businesses by offering loans ranging from £25k to £2m and equity investments up to £5m. Notable investments include multi-million-pound funding to Newcastle-based fintech company Kani Payments, and £1.5m to the Padel Club which facilitated its expansion in TraffordCity. The NPIF II builds upon the success of its predecessor, continuing to provide vital financial support to stimulate growth and innovation, especially in companies at the forefront of the green economy and those led by underrepresented founders.
Sectors
- Finance
- Technology
- Private Equity
Geography
- United Kingdom – The investments were made across the North of England, encompassing regions within the United Kingdom.
- Northern England – Specific attention in the investment strategy is directed towards SMEs in Northern England.
Industry
- Finance – The article focuses on investment activities and fund management aimed at supporting SMEs, which falls under the financial industry.
- Technology – Mention of fintech company Kani Payments and innovative sectors receiving investment indicates the technology industry's involvement.
- Private Equity – NPIF II's activities in providing equity finance options for smaller businesses link it to the private equity sector.
Financials
- £80 million – Total invested by NPIF II into Northern SMEs in its first year.
- £660 million – The total size of the Northern Powerhouse Investment Fund II.
- £1.5 million – Funding received by The Padel Club for expansion.
- £25k to £2m – Range of loan amounts provided by NPIF II.
- Up to £5m – Equity investment amount provided by NPIF II.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Northern Powerhouse Investment Fund II | Investor | Company | A £660m fund operated by the British Business Bank to support SMEs in Northern England. |
| British Business Bank | Operator | Company | The organization responsible for managing NPIF II, providing financial services to support business growth. |
| Kani Payments | Beneficiary | Company | A Newcastle-based fintech company that received multi-million-pound investment from NPIF II. |
| The Padel Club | Beneficiary | Company | Recipient of £1.5m funding from NPIF II to support its expansion efforts. |
| NPIF II Maven Equity Finance | Funding Partner | Company | Collaborated in providing equity finance to support SMEs under NPIF II. |
| NPIF II Praetura Equity Finance | Funding Partner | Company | Another funding partner working with NPIF II in the North West region's investments. |
| Adam Kelly | Managing Director, Co-Head of Funds | Person | Managing Director and Co-Head of Funds at the British Business Bank. |