Net Zero Living podcast: Planning, Pipeline and Finance

How to make net zero plans investor-ready

Finance can feel like the hardest part of local net zero delivery. Not because the ambition is missing, but because the path from plan to funding is often unclear. In this episode, Poppy Maltby from Regen explores the learnings from the Net Zero Living Programme for local authorities wanting to build an investible pipeline of projects.

Poppy is joined by Christine Zhou, Finance and Investment Partner at Bankers Without Boundaries, who supported local authorities through the Net Zero Living Programme, and Louise Wilson, Co-founder and Joint Managing Director at Abundance Investment which specialises in renewable infrastructure.

Within the conversation, Christine explains how private finance can feel like a “black box” for many local authorities and a key opportunity is finding ways to demystify it. She describes training councils to develop some shared rules of engagement and a common language around investment to build confidence and stresses the importance of continuity, noting that investors want a long term relationship with a stable counterparty.

Louise brings the investor view, explaining that there is not a shortage of capital. The main challenge is presenting projects in ways that fit the risks, timescales and returns that investors need. She also explains why project size matters. Some smaller, high value schemes may be better funded through council routes or citizen lending, while bigger schemes with clearer revenues can attract larger pools of capital.

Both contributors use examples from the Programme to bring these challenges and solutions to life, including Blaenau Gwent, Rossendale, and Bristol. Throughout the conversation, the key learning is that when projects are shaped in a way that funders can understand, assess and support then investment is more likely to follow.

Key insights

• Local authorities play a critical role in translating local ambition into investable projects but they need to frame it in the context of investor needs and return.
• Investor engagement works better when there are clearer “rules of engagement”, shared language and trusted relationships so this must be an essential area of training and support for councils.
• Matching the right finance to the right project size and returns can unlock delivery. Councils should consider segmenting their pipeline and consider different levels of funding, from citizen lending to larger project finance.