Summary of Recent Initiatives Supporting Scaleups Across Sectors And Localities
The Innovation Strategy, vitally, recognises that scaleups “are more likely to undertake innovation activity than conventional SMEs” and that “scaleups require bespoke support due to their distinct needs.” It addresses many key aspects of the scaleup agenda: from the reaffirmation of need to develop a scaleup visa to enable scaleups to secure international talent and skills with a fast-track verification process; to reforms that will help to close the growth capital gap, such as unlocking the barriers to investment in scaleups for pension funds; to the expansion of Innovate UK EDGE; finance schemes and the the new Innovation Hub that will sit alongside and complement the British Business Bank’s existing Finance Hub, with clear links between the two to provide innovative scaleups with a complete horizon of funding opportunities; to the focus on the use of smart data. The vital need to get more opportunities for innovative scaleups through ‘procurement or pre-commercial procurement activities’ is also recognised. The Innovation Strategy is a key ingredient in our Scaleup landscape and we will be working very closely with the Government and the private sector on how it progresses.
The formal launch of the £375m Future Fund: Breakthrough programme announced in the Budget is also welcome news for ambitious and highly innovative UK scaleups. Delivered via British Patient Capital, the Future Fund: Breakthrough programme, which aligns to recommendations made by the SUI and evidence provided to the Government will make equity co-investments with private sector investors in R&D-intensive and capital-hungry UK scaleups operating in sectors such as quantum computing, cleantech, and life sciences.
The Life Science Vision is a substantial recognition of the value that the life sciences have to the UK economy, and how to build upon the UKs existing strengths. Commitments include the establishment of a ScaleUp Life Science taskforce to ensure that companies can better scale up in the UK, the launch of a £200m Life Science Investment Programme and further commitment to better enable life science companies to list in the UK, building upon the Listings Review conducted by Lord Hill.There also remains on going focus on the need to foster institutional investment into scaleups.
And with the UK creative industries contributing £111.7bn GVA to the UK economy, including more than 1,600 scaleups and scaling businesses generating £43bn in turnover,the Invest in Creative Toolkit allows us to vitally build up understanding and knowledge among investors about the scaling potential in this sector. Do take a look at it.