GIB privatisation further complicated by SDCL challenge

Author: Amélie Labbé | Published: 6 Mar 2017

A legal challenge against the UK government’s decision to sell the Green Investment Bank (GIB) to Australian bank Macquarie has added further controversy to an already criticised deal. It’s the latest in a series of hurdles to the proposed £2 billion ($2.47 billion) privatisation of the state-owned investor, which has been in the pipeline since 2015. Rival bidder Sustainable Development Capital (SDCL) launched a judicial review over the sale on March 1 alleging that the bidding process had not complied with some of the government’s criteria, including achieving value for money for the taxpayer. Macquarie was approved as preferred bidder in October 2016 but has been the target of ongoing criticism since the privatisation announcement at the beginning of the year. "Fundamentally, it comes down to what Macquarie is offering to do with the GIB," said Tomas Freyman, managing director,...