The European Regional Development Fund and European Investment Bank have reached agreement with the North West Development Agency on a new fund to provide European investment in the region's urban development projects.
The North West Urban Investment Fund - £50m from the ERDF and £50m from the NWDA - will be an initiative under the Joint European Support for Sustainable Investment in City Areas, the first such JESSICA project in England apart from London's.
It will allow prolongation of the ERDF programme in North West England through equity, loans or guarantees and will allow investment through revolving funds.
"When loans are repaid, the fund is recycled and then reinvested," said regional policy commissioner Pawel Samecki. "This means the money goes much further than a one-off grant and will continue to enhance the competitiveness of the regional economy for years to come."
The EIB has lent the region around £2.5bn over the last 10 years for projects which include industrial research, education, health, social housing and infrastructure.
It will be able to add to the new £50m in the future.
"European funding has helped to regenerate many parts of the region over the last 15 years and this is a guarantee that this important work will continue at a time when the support is more needed than ever," said ERDF Programme Monitoring Committee chair Liz Meek.
