The House of Lords EU Committee will examine the UK’s future relationship with the European Investment Bank (EIB), two years after the EU referendum.
The House of Lords EU Financial Affairs Sub-Committee focuses on economic and financial developments and regulation in the EU.
It is seeking evidence on the UK’s post-Brexit EIB relationship.
Baroness Falkner of Margravine, chair of the EU Financial Affairs Sub-Committee, said: “The European Investment Bank is the largest multilateral lender in the world and the UK has benefited substantially from this relationship – in 2015 the UK received £5.6bn from the EIB, which supported £16bn of overall investment.
“The Committee will consider how we might continue to participate in the EIB, and UK alternatives to it. There is evidence that funding to the UK is already declining, so we will also explore what short-term actions might be required to support businesses negatively affected by this loss.”
Reliance on funding
The inquiry will explore the extent to which UK firms currently rely on EIB funding and investment.
It will ask how the referendum result has affected the ease of securing affordable finance.
The Committee will investigate the options for future participation in the EIB’s lending programmes.
It will ask whether there is a possibility of the UK remaining a member of the EIB post-Brexit. It will look into alternatives to EIB membership.
A release by the Committee has said that they are particularly interested in answering the following questions:
- Should the government focus on the Investment Fund to be incubated by the British Business Bank?
- What lessons from the performance of the EIB might the UK learn if it were to try to step into any gap in EIB funding?
- If the UK were to develop alternative sources of finance, how long might it take to do so?”
Baroness Falkner said: “We encourage, and welcome, submissions of written evidence from anyone with knowledge of and an interest in the European Investment Bank.”
The deadline for the submission of written evidence is 14 September 2018.
It is two years since the referendum and questions have been asked since then about the post-Brexit EIB relationship and whether the UK government would match its investment commitments.