Mixed-asset bundling is a way for local and combined authorities to attract investment into Net Zero projects that may struggle to secure funding individually. By combining different asset types into a single investment proposition, authorities can reduce costs, spread risk, unlock additional private capital, and avoid leaving important but less commercially attractive projects dependent on public funding alone:

• Use bundling to improve investment attractiveness, combining smaller or lower-return assets with stronger-performing projects to create more compelling opportunities for investors.
• Support comprehensive decarbonisation, ensuring that essential Net Zero assets can progress even when they would be unlikely to attract commercial investment on a standalone basis.
• Improve efficiency and coordination through shared planning, procurement, financing, and delivery arrangements across multiple projects.
• Spread financial and operational risk across a portfolio of assets rather than concentrating exposure within a single project or technology.
• Develop bundles around different objectives, including technically linked assets such as insulation and heat pumps, socially focused projects that deliver wider community benefits, or single-sector programmes covering heat, power, or transport.
• Adopt a range of implementation models, including public-private partnerships, place-based programmes, strategic asset management plans, and collective investment vehicles.
• Use geographic approaches where appropriate, bundling assets within districts, town centres, or wider local areas to support coherent economic development and decarbonisation plans.
• Unlock wider benefits beyond carbon reduction, including job creation, health improvements, enhanced natural assets, and broader social outcomes.
• Recognise key delivery challenges, particularly around valuation, legal arrangements, governance requirements, accountability, and securing sufficient investor interest.
• Follow a structured development process, beginning with asset identification and readiness assessments, moving through valuation, financial structuring, and procurement, and ending with clear governance, performance monitoring, and reporting arrangements.