Major social investment unveiled for Liverpool City Region with fund manager appointed
A significant milestone has been reached for the Social Investment Pathfinder Fund that aims to transform access to finance for social enterprises and unlock inclusive economic growth across the Liverpool City Region.
In a major step forward for the initiative, Social Investment Business (SIB) has agreed in principle to take on the role of Fund Manager. The Fund is now set to launch later this year.
The Pathfinder is a pioneering place-based fund, with the ambition to mobilise £50 million over seven years while tackling deep-rooted barriers to investment and asset ownership faced by social enterprises and community organisations.
The fund will prioritise founders and organisations underserved by mainstream finance, including Black-led and other underrepresented enterprises, with a focus on businesses combining strong growth potential with meaningful social impact.
By targeting areas across the city region with both surplus space and entrepreneurial talent, the Pathfinder aims to unlock new opportunities for communities and drive long-term local regeneration.
A national “proof of concept”
Creating a new model for social investment, the Pathfinder will invest across three connected areas to support organisations at different stages of growth:
- Early-stage blended finance to help new and emerging enterprises
- Scale-up investment for organisations ready to grow their impact
- A dedicated land and property vehicle to enable greater community ownership of assets
The initiative brings to life the recommendations of the Adebowale Commission, positioning the Liverpool City Region at the forefront of innovation in social investment.
Lord Adebowale, Patron of Pathfinder, has described the model as a “proof of concept” for locally governed but nationally connected capital, demonstrating how devolved investment approaches can deliver more inclusive and sustainable economic development, with lessons for the rest of the UK.
The Pathfinder has been identified as a key delivery mechanism for inclusive prosperity within the Liverpool City Region Growth Plan and at a national level, discussions are progressing with the government’s Office for Impact Economy to recognise the region’s leadership and establish it as an Impact City Region.
Fund manager announcement marks critical milestone
Securing a Fund Manager marks a critical milestone in turning the Pathfinder from ambition into delivery.
Erika Rushton, Director of Strategy at Kindred Liverpool City Region, said: “Social Investment Business brings a strong national track record in delivering social investment funds and a deep understanding of regional ecosystems. Their involvement will support the management of Pathfinder’s financial architecture, combining compliance and robust governance with locally accountable investment across the Liverpool City Region.”
Nick Temple, CEO of Social Investment Business, said: “We’re delighted to be selected to work on Pathfinder and help build the best possible partnership between local expertise in the city region with our own national infrastructure and capacity.”
As fundraising progresses and formal agreements are finalised, further announcements will follow.