New green finance plan could unlock £100m of private sector funding for nature projects

Ambitious plans are being drawn up to unlock up to £100 million of private and public sector funding for environmental projects across the West Midlands.

The plan aims to speed up nature recovery, improve people’s health and wellbeing and help protect communities from climate change.

The West Midlands Combined Authority’s (WMCA) has already identified 200 environment projects covering 46,000 hectares of land – the equivalent of 70,000 football pitches – that could be included one of the UK’s first regional natural capital investment prospectuses.

These projects include habitat enhancement and connectivity, blue and green infrastructure, nature-based solutions to build resilience to climate change impacts, improving access to green space for health and wellbeing benefits, species protection and biodiversity net gain.

Having a pipeline of investment-ready projects will make it easier to match funders with a range of bold and innovative nature recovery schemes.

For developers, it will help them meet new planning rules requiring them to deliver a Biodiversity Net Gain of 10 per cent - this means more or better quality natural habitat than there was before development.

It will also mean businesses and other organisations can find nature projects to invest in in other ways as part of their own Corporate Social Responsibility (CSR) strategies.

Speaking at the first West Midlands Natural Environment Summit last week, Mayor Richard Parker announced a package of direct support to help the first projects become investment ready.

The regional natural capital investment prospectus is expected to be published next year.

At the inaugural summit, the Mayor hosted the Government’s nature minister and Coventry MP, Mary Creagh, and over 100 national, regional and local stakeholders.

The Mayor said: “My focus is on securing new funding that will directly support nature projects, improving the quality of life for people across our region.

“We’re aiming to bring in private sector investment to create more green spaces, restore habitats, and plant thousands of trees, especially in areas that need them most.

“These initiatives will help make our communities greener, healthier, and more vibrant, ensuring the benefits are felt now and for future generations.”

The West Midlands is one of just four regions in England, and the only predominantly urban area, asked by the Department for Environment, Food and Rural Affairs (Defra) to lead national efforts to identify new ways of significantly increasing the amount of private sector funding for nature.

As part of the Defra-funded Local Investment in Natural Capital programme, the WMCA will support and promote investment-ready projects that collectively can significantly enhance biodiversity and improve access to green spaces and waterways for local people – both key aims of the region’s Natural Environment Plan.

Green finance was on the agenda of the first West Midlands Natural Environment Summit, held at Aston University as delegates discussed ways of speeding up nature recovery and continuing to improve access to our natural environment for everyone that lives in the region.

Since publishing the first West Midlands Natural Environment Plan in 2022, the WMCA has given £1.6 million to 55 community led environment projects right across the region, benefitting up to 500,000 people.

Recognising the social, health and environmental value of trees in cleaning air, storing carbon and protecting communities from flooding, the WMCA has again teamed up with the Woodland Trust to giveaway tree saplings during the new planting season.

Residents and community group can register an interest in saplings or hosting an event in their area.

Pictured: Richard Parker, Mayor of the West Midlands and WMCA chair, Dr Delia Garratt, chief executive at Birmingham and Black Country Wildlife Trust and Nature Minister Mary Creagh at the first West Midlands Natural Environment Summit.