Pension firms ought to capitalise on the chance to boost investment into the tech sector, Science Minister Lord Vallance will inform traders in the present day in his speech on the British Venture Capital Association’s (BVCA) personal capital showcase.
Vallance will acknowledge that the UK is famend for excellence in analysis and incubating corporations in sectors together with life sciences, AI and quantum know-how, however notice that many promising UK corporations have been held again from scaling due to lack of capital.
“There are far too many UK companies operating at the cutting-edge of emerging technologies like AI, biotechnology and quantum, to which UK investors are underexposed,” stated Vallance.
“Through our industrial strategy, we are building an environment where public funding, streamlined regulation and partnerships with industry are channelling investment into science and technology. Encouraging greater flows of capital into the sector is another piece of the puzzle, supporting companies to grow and jobs to be created.”
While $16bn has been invested into UK startups and scaleups final 12 months and greater than $8bn raised within the first half of 2025 – which exceeds France and Germany mixed – the federal government desires to go additional and sooner to boost progress via its Plan for Change.
Today, Vallance will name on personal pension traders to work with VCs and different asset managers to again the following technology of high-growth corporations. It is hoped this could ship long-term returns for traders whereas maintaining extra of the worth and jobs created by these corporations within the UK.
New Innovations Cluster Map
A brand new and improved Innovation Clusters Map may even be unveiled in the present day to assist traders to find corporations, sectors and areas of the UK to goal for investment.
The device permits potential traders, business, analysis establishments and authorities to perceive native innovation ecosystems and establish progress and investment alternatives.
It additionally identifies areas and areas the place networks of companies and analysis establishments are benefitting from shut proximity, boosting the results of analysis, improvement and innovation.
It will embrace info on sectors aligned with the federal government’s industrial technique, together with superior manufacturing, inventive, digital and tech, monetary companies, skilled and enterprise companies, and life sciences.
Clusters ripe for investment embrace the north west of England, the place life sciences corporations are creating new medicine to combat most cancers and irritation, and vaccines to shield towards the micro organism behind ailments like pneumonia and sepsis.
Elsewhere, corporations within the Glasgow metropolis area are constructing satellites that assist to underpin fashionable know-how and hold the UK linked.