8.27 Since 2000 the European Investment Bank has signed finance contracts worth over £6 billion for UK based PPP and project finance projects. This is a very significant contribution to UK investment and economic growth. These investments in the UK have ranged from motorways and rail, to waste treatment, energy schemes, schools, hospitals and universities. Some specific examples include the building and extension of the Docklands Light Railway, the construction of Crossrail, the construction of new hospital and university facilities in Bristol and Birmingham, respectively, and recently the Intercity Express Programme.
8.28 It offers a number of products designed to facilitate infrastructure delivery including direct loans, intermediated loans, guarantees, credit enhancement facilities and development grants. The EIB offers its products at low rates7 and therefore can help projects meet authority affordability requirements. Government encourages project sponsors to continue to use EIB funding in PF2 projects.
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7 reflecting its ability to fund itself at lower rates than commercial banks