British Business Bank Commits £6.6bn to UK Innovation, Growth Sectors

The British Business Bank has been allocated £6.6 billion in new capital by the UK government to support innovation and growth in smaller businesses, marking a significant expansion in its investment capacity. A £4 billion initiative, British Business Bank Industrial Strategy Growth Capital, will focus on eight key sectors including advanced manufacturing, clean energy, creative industries, defence, digital and technologies, financial services, life sciences, and professional and business services, aiming to attract an additional £12 billion in private investment. Additionally, £2.6 billion will be dedicated to helping entrepreneurs across the UK access capital, fostering growth in regional clusters and supporting businesses regardless of location or background. This funding boost follows an increase in the Bank's total financial capacity to £25.6 billion, enabling a two-thirds rise in annual investments to about £2.5 billion. The Bank’s CEO, Louis Taylor, emphasized its critical role in helping smaller businesses grow and remain in the UK, while reforms to governance and financial frameworks will further position the Bank to deliver on these goals. The initiative also extends to sectors such as legal tech under the broader categories of digital and professional services, highlighting the government’s intent to support innovation across diverse industries.