Zopa and Abundance mentioned in latest government strategies
Peer-to-peer lenders and crowd bond platforms have played a part in the government’s new foreign investment and green strategies.
Prime Minister Boris Johnson hosted a global investment summit this morning (19 October) where a $300m pre-initial public offering (IPO) investment into Zopa was revealed.
The government said the financial backing that Zopa, the world’s oldest peer-to-peer lender, received would help it grow its responsible and sustainable banking and lending services in the UK.
It formed part of a new investment portal launched by the department for international trade where investors can assess and access opportunities.
The government also published its long-awaited net-zero strategy.
The 368-page document set out proposals to help households and the economy move towards net-zero carbon emissions.
Ideas included grants so households can upgrade boilers and green mortgages that support eco-friendly homes.
The document mentioned Abundance Investment’s community municipal investments or local climate bonds which let councils fund local renewable projects.
More than 800 Abundance investors have channelled more than £2m into projects with West Berkshire Council and Warrington Borough Council, with more local authority projects in the pipeline.
“We are supporting the public to both save and contribute towards public spending that helps the UK reduce its emissions through the NS&I green savings bond,” the document said.
“The Green Finance Institute and Abundance Investment, supported by UK100, Local Partnerships and Innovate UK, have also launched a national campaign to help local authorities issue a type of municipal finance investment – local climate bonds.
“For citizens, the local climate bond provides a low-risk and fixed return investment, and a way to mobilise their savings to help tackle the climate change in their area.”
Read more: Zopa reviewing “strategic direction” of P2P lending platform