Investments by UK venture capital trusts (VCTs) rose by 8% in 2022, despite wider venture capital funding dropping by 23% during the same period.
Research by the Venture Capital Trust Association, which represents twelve of the largest venture capital trust managers in the UK, shows that VCTs provided £664m across 345 investments.
VCTs are investment companies listed on a stock exchange. They provide investments to unlisted companies and receive tax relief.
The data shows that VCTs exceeded £1bn in capital secured for the second consecutive year.
The data, which surveyed over 600 early-stage companies, is based only on firms that had previously received investment from VCTs.
Will Fraser-Allen, chair of the Venture Capital Trust Association, said: “UK PLC is increasingly in need of innovative young businesses to push the economy forwards and help to drive growth by investing in new technologies such as artificial intelligence.”...