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British Business Bank celebrates a decade of transformative economic impact

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The British Business Bank, established in 2014 to bolster the UK’s economic growth and support smaller businesses, is marking its 10-year anniversary with remarkable achievements. Over the past decade, the Bank has facilitated more than £32 billion in combined public and private sector funding, benefiting 209,000 smaller businesses and creating 250,000 new jobs while sustaining 2.3 million positions across the UK.

The release of The Power of 10: 10 Year Impact Report today showcases the Bank’s significant contributions. Businesses supported by the Bank are projected to generate £97 billion in additional turnover and £43 billion in added economic output over the lifetime of their financial backing. The Bank has also achieved a net 4.2% annual adjusted rate of return, proving that fostering economic growth and delivering financial returns can go hand in hand.

Driving innovation and equity investment

As the largest domestic investor in UK venture capital, the Bank has driven innovation through equity investments, particularly in high-growth sectors such as life sciences, clean tech, and advanced software. Over the past three years, £8 billion has been invested in equity finance, helping to fuel 150,000 new jobs and contributing £29 billion in Gross Value Added (GVA).
Initiatives like British Patient Capital, the Life Sciences Investment Programme, and Future Fund: Breakthrough have further accelerated equity flows to transformative sectors, underlining the Bank’s pivotal role in the UK’s innovation ecosystem.

Catalysing private sector investment

For every £1 of public funding deployed, the Bank has attracted over £4 in private sector investment, leveraging its network of 200 delivery partners, including banks, fintech providers, and venture capital funds. The forthcoming British Growth Partnership aims to further enhance this impact by encouraging UK pension funds and institutional investors to back high-growth, innovative businesses, with the initial fund targeting hundreds of millions of pounds in commitments.

Supporting regional growth and inclusivity

Demonstrating a commitment to equitable access to finance, 84% of the businesses supported by the Bank are located outside London. This regional focus has added at least £1 billion in GVA to each of the UK’s 12 Nations and regions, driving growth and fostering innovation in underserved areas. Programmes like the Regional Angels Programme and the £1.6 billion Nations and Regions Investment Funds have been instrumental in nurturing regional innovation clusters.

In addition, the Bank’s Start Up Loans programme has broken barriers for under-represented groups, with 40% of loans awarded to female founders and 20% to entrepreneurs from Black, Asian, or Other Ethnic Minority backgrounds. Looking forward, £50 million will be invested in female-led funds to further champion inclusivity in entrepreneurship.

Advancing the green economy

The British Business Bank has been at the forefront of the UK’s transition to a net-zero economy, with 37% of the businesses it supports utilising finance to reduce their environmental impact or develop green business models. This focus highlights the Bank’s dedication to fostering sustainable growth and supporting the UK’s leadership in clean technology.

Celebrating a decade of impact

Reflecting on the Bank’s achievements, Business Secretary Jonathan Reynolds remarked: “Over the past decade, the British Business Bank has empowered smaller businesses to thrive, creating opportunities and driving growth across the UK.

“They’ve supported more than 2 million jobs, created £97 billion in additional turnover, and delivered £32 billion in funding—its impact is clear. This Government remains committed to building a high-growth economy, and the Bank’s success shows how public investment and private ambition can deliver lasting value for the nation.”

Louis Taylor, CEO of the British Business Bank, added: “The Power of 10: 10 Year Impact Report highlights the transformative role the British Business Bank has played in driving economic growth and shaping the financial landscape for smaller businesses across the UK.

“From improving access to finance across the UK’s Nations and regions to backing innovation and championing sustainable growth, we are proud of the impact we’ve achieved over the past decade.”

As the Bank looks to the future, it aims to expand its efforts, unlock more private sector investment, and support the UK’s economic, innovation, and sustainability goals, cementing its role as a vital partner for growth in the years to come.