Deputy prime minister Nick Clegg said that some of the bank’s early targets would be ‘offshore wind, waste and non-domestic energy efficiency’.
‘Investing in a greener future is an ambition that combines an ethical duty and an economic duty,’ Clegg said. He added that the establishment of the bank would be a ‘world first’.
‘Most countries have a development bank, but the UK will be the first country to have a national bank dedicated to the green economy,’ he said.
In the Budget, the government guaranteed that the bank would receive an initial capital of £3bn.
‘The initial £3bn capital by 2014/15 should enable the bank to catalyse an additional £15bn of investment in the green infrastructure,’ he said.
Clegg’s announcement comes after the coalition was slammed by green groups for failing to live up to its pledge of being the ‘greenest government ever’.
‘Using the bank to cut energy waste from homes will also help to tackle fuel poverty and climate-changing emissions.’