Abu Dhabi’s state owned renewable energy company, Masdar, is reportedly set to announce that it will invest ‘up to £1 billion’ in alternative energy schemes alongside the UK’s Green Investment Bank (GIB).

The Financial Times is reporting that a memorandum of understanding will be signed at Buckingham Palace by Sultan Ahmed al-Jaber, head of Masdar, on 8 May as part of Sheikh Khalifa bin Zayed al-Nahyan’s state visit to the UK.

The deal has been reportedly masterminded by the energy and climate change minister Greg Barker and will be seen as a significant boon to the GIB which has come under heavy criticism from the clean tech sector due to its lack of borrowing powers.  

The GIB has been hailed by the Coalition government as an innovative solution that will attract the serious green investment required in order to kick-start low-carbon projects across the UK.