Investment
strategies

Connected Places Catapult were commissioned by the DfT to deliver the Investment in Zero Emission Transport Cities (iZETC) programme to identify ways to unlock capital for local authorities.  We engaged with 3 local authorities (Norfolk, Oxford and Bristol) to understand their core objectives and challenges around raising capital for their net zero initiatives.

With our investment partners, we identified the need for a new investment model that would increase the ability to unlock capital.  The model would bring together public bodies, SMEs, scale-ups, public and private investment into a new commercial entity that, together, would increase the ability to secure capital and accelerate the local decarbonisation agenda.

The model was developed and presented to senior stakeholders at the DfT and Department for Security, Energy and Net Zero (DESNZ).  The next phase of the project, which will involve building out and testing the investment framework, is due to receive government funding in 2024-25.

Hydrogen represents not only a path to decarbonisation, but also a significant, global opportunity economic opportunity for the UK.  The Hydrogen Innovation Initiative (HII) is a multi-million-pound industrial programme, funded by Innovate UK.  The purpose is to outline the business and investment case for funding and accelerating the UK’s hydrogen capabilities.  Key to this, is developing investment programmes that will increase the level of private capital being invested into the UK.

The Connected Places Catapult is delivering an investment workstream that will look to deliver a new investment model for scaling hydrogen.  This involves bringing together asset owners, scale-ups, large industry players, local authorities and private investors into new commercial entities.

The programme will run until June 2024, by which time we expect to have secured additional backing from government and industry to run this as a long-term initiative for the country.