The new Pathways Capital Initiative is designed to help first-time venture capital fund managers from a broader range of backgrounds establish and grow their funds.
The programme will provide £400 million of investment, including up to £90 million from the British Business Bank, which was allocated to 10 new “microfunds” in June. A further £100 million is expected to be deployed through the next cohort, with applications due to open this autumn.
Chancellor John Healey said that supporting wealth creation remains a key priority, with a focus on strengthening businesses and encouraging investment that can benefit communities across the UK. He acknowledged the pressures facing businesses and said the additional £100 million of funding would help stimulate local economies and support companies investing in their people.
The funding was also welcomed by Keith Griffiths, founder and CEO of The Entrepreneur Festival.