British Business Bank backs UK deeptech funds

The British Business Bank has committed £180 million to six venture capital and growth equity funds focused on AI and deeptech. Together, the funds have raised more than £1 billion. The commitments aim to expand financing for UK technology companies from pre-seed through Series B and later growth rounds, addressing a market where start-ups have often struggled to secure larger investments domestically.

The largest allocation is £55 million to Intrepid Growth Partners Fund I, a specialist AI growth investor with an inaugural $525 million fund. Other commitments comprise £35 million to Crane III, £20 million to Connect V, £22 million to Entrepreneur First’s Early Stage Fund, £26 million to Headline EU VIII and £22 million to Evantic Fund I. Their investment strategies cover foundational technologies, AI infrastructure, hardware and automation, with specialist support spanning early technical founders and growth-stage businesses.

The funding forms part of a broader push to deepen domestic technology investment and strengthen UK AI capabilities under the government’s industrial strategy. The Bank has now backed more than 150 UK venture capital funds. It is also seeking additional institutional capital through VentureLink, a portal connecting pension funds and other investors with Bank-backed vehicles. The platform currently lists 18 funds seeking further backing.