After the collapse of the US bank Silicon Valley Bank (“SVB”) at the end of last week caused a bank run and a weekend of uncertainty for the many UK start up and technology firms who are customers of the UK arm – Silicon Valley Bank UK – there appears to be a full solution this morning which will protect all customers’ deposits, and save the UK arm from insolvency.

HSBC’s acquisition of Silicon Valley Bank UK for £1, which was announced this morning is a welcome development for SVB’s depositors and the wider banking system.   The Bank of England has announced that all SVB UK’s services will now continue to operate “as normal” and the insolvency procedures which were announced on Friday have been stopped.

Customers of SVB UK should feel minimal impact, with deposits protected and the ability to bank as normal.  Thich includes a significant number of earlier stage technology firms, many of whom are likely to have had investment and backing from funds and early-stage investors.  We will continue to monitor the situation and keep clear communications open with all our fund manager partners.

Dan Rodwell, GrowthInvest CEO stated:

“The news today that customer deposits will be guaranteed and that there should be minimal impact for the many UK customers of SVB UK is very welcome indeed.  It is worth remembering that the UK tech sector is far from an isolated sector, and the impact of any uncertainty of this sort would quickly affect the wider UK economy.  We welcome the quick and decisive action taken by the government and chancellor, alongside the hard work of Coalition for a Digital Economy (Coadec), and very much hope that this week’s budget sees further confirmation and clear backing for this vital part of the UK economy”


GrowthInvest had no direct exposure to the SVB failure, and has never banked with SVB or SVB UK.




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