Telford & Wrekin Council to borrow £20 million for investment fund
Telford & Wrekin Council is planning to borrow up to £20 million in a bid to help bring new investment into the borough.
The authority will ask its cabinet to vote on the plans next week, in an effort to secure funding that will help encourage businesses looking for expansion to choose Telford for their new site.
The cash will be used to invest in and expand the council-owned Property Investment Portfolio (PIP), which currently generates more than £5 million of income a year.
It will be used to fund the construction of new premises to be let to tenants who have committed to moving into the borough, upgrading its existing property portfolio and building new units to meet market demand.
The cash will also be used to buy investment properties and potential employment land.
Councillor Shaun Davies, Telford & Wrekin Council's cabinet member for business, said: "The fund will directly increase the competitiveness of the borough's offer to investors.
"The availability of funds would also enable the delivery of the commercial elements of the next phase of Southwater to come forward including additional hotel and retail/restaurant space."
It is not the first time that the authority has considered borrowing to boost investment in the borough.
The council had planned to borrow £120 million to build the new MoD Donnington logistics hub, although that was ultimately unnecessary, and it also secured borrowed cash to invest in its 15,000-panel solar farm.
