The new Leeds-based UK Infrastructure Bank (UKIB) has announced that former HSBC CEO John Flint has been appointed as its first permanent chief executive.

The UK Government said the UKIB will receive an initial £12 billion of capital “and will be able to issue a further £10 billion of government guarantees, helping to unlock more than £40 billion of investment overall.”

The state bank’s £22 billion of financial capacity consists of £5 billion of equity, £7 billion of debt and £10 billion of guarantees.

Yorkshire-born Flint said: “This is a unique leadership opportunity.

“The UK Infrastructure Bank’s purpose is clear, and the opportunity to play a role in accelerating the UK’s transition to a low carbon economy, and catalysing regional economic growth is exciting.

“I look forward to getting started on the new adventure, meeting my new colleagues, and building an outstanding team.”

The UKIB opened in June to accelerate investment “in ambitious infrastructure projects in sectors including clean energy, transport, digital, water and waste.”

UK finance minister Rishi Sunak said: “This is an important milestone for the bank in its efforts to tackle climate change and level up, while creating new opportunities across the UK as part of our Plan for Jobs .

“Mr Flint brings outstanding financial and management expertise which will be crucial to leading the organisation as it grows its operations and starts to deliver on its mission to finance projects in every region of the UK.”

UKIB chair Chris Grigg said: “The CEO will play a pivotal role in shaping the organisation’s culture, taking charge of UKIB’s development and performance, and leading its talented workforce.

“John Flint has an outstanding track record and deep experience within both finance and senior leadership positions; I look forward to working with him closely in his new position.

“I would also like to offer my personal thanks to John Mahon, who has served as interim CEO with considerable skill, for his many contributions to the Bank – steering UKIB through a crucial development period.”