Business Growth Fund Commits £500m to Boost UK Startups
Funding | 27 May 2025 | UK Tech Funding
The Business Growth Fund (BGF), one of the UK's largest growth capital investment firms, has pledged £500 million to support early-stage companies in life sciences and deep tech. This investment is part of BGF's broader £3 billion strategy to support high-potential businesses over the next five years, despite prevailing macro-economic uncertainties. BGF's assets, valued at $3.3 billion by Dealroom, make it a key player in British tech startup funding, historically backing companies like Oxa, Gousto, and Paddle. The new funding will target young technology firms with investments ranging from £1 million to £10 million. BGF also plans to allocate £300 million to female-led businesses, marking a significant move in promoting gender diversity in entrepreneurship, as noted by Debbie Wosskow, co-chair of the Invest in Women Taskforce.
Sectors
- Venture Capital
- Life Sciences
- Deep Tech
Geography
- United Kingdom – The article focuses on BGF's investment activities within the UK, aiming to support local startups and entrepreneurs.
Industry
- Venture Capital – The article discusses BGF's investment strategy aimed at startups, reflecting typical activities in the venture capital sector.
- Life Sciences – BGF's investment targets include early-stage companies in the life sciences sector, a focus of the firm's new funding.
- Deep Tech – Deep tech companies are among the prime targets for BGF's newly committed funds, highlighting a sector-specific interest.
Financials
- £500 million – Amount committed by BGF for investments in early-stage life sciences and deep tech companies.
- £3 billion – Total pledge by BGF over five years to support high-potential UK businesses.
- £300 million – Funds allocated to support women-led businesses as part of the £3 billion pledge.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Business Growth Fund (BGF) | Investor | Company | One of the UK's largest growth capital investment groups, focusing on supporting early-stage companies. |
| Tim Rea | Co-head of Early-stage Investments | Person | Responsible for leading BGF's early-stage investment strategies. |
| Andy Gregory | CEO | Person | CEO of Business Growth Fund, overseeing the firm's strategic direction. |
| Debbie Wosskow | Co-chair | Person | Co-chair of the Invest in Women Taskforce, advocating for increased support for women-led businesses. |
| Invest in Women Taskforce | Beneficiary | Charity | An initiative focused on promoting investments in women-led enterprises. |