The British Business Bank has announced a significant £6.6bn investment to support small business growth across the UK, with £2.6bn earmarked for the East Midlands. This investment is part of the government’s modern Industrial Strategy to strengthen the UK’s economy and support innovation-driven businesses.
The commitment is part of a broader £25.6bn financial capacity increase, which includes funding for smaller businesses across the UK’s Nations and regions. This capital will help entrepreneurs access the necessary resources to scale up and grow, particularly in high-growth innovation clusters.
Key measures in the East Midlands include a £100m boost to existing investment funds like the Midlands Engine Investment Fund II, aimed at fostering regional innovation. The introduction of Cluster Champions will also help connect high-potential firms with investors in various industrial sectors.
Additionally, the British Business Bank is expanding its Regional Angels Programme to address regional disparities in access to early-stage equity and supporting angel networks focused on underrepresented investors. A new Investor Pathway Capital programme will facilitate the entry of diverse fund managers into the venture capital space.
The £4bn British Business Bank Industrial Strategy Growth Capital initiative will support key sectors like advanced manufacturing, clean energy, and digital technologies, expected to leverage £12bn in private capital. This initiative will help companies access large investments, up to £60m, and crowd in private capital to fuel innovation.
These initiatives, alongside reforms to the Bank’s governance, will underpin long-term economic growth in the UK, particularly in the regions. The British Business Bank’s efforts aim to generate up to £30bn in additional value for the UK economy by fostering company growth and innovation.
