The British Business Bank has committed £90m to 10 first-time UK venture capital funds, marking its initial deployment from a £500m package announced in July 2025. These funds will target pre-seed and seed-stage startups across deeptech, defence and climate tech sectors, with each receiving between £10m and £20m in backing.

Notably, 57% of the general partners are women and 43% come from ethnic minority backgrounds, representing the bank's push to diversify the investment landscape. Among the recipients are Common Ventures, which focuses on state-educated founders, and The Tech Bros, which supports female entrepreneurs. All are first-time institutional managers.

Chief investment officer Leandros Kalisperas said the bank aims to create ecosystem effects and provide these managers with opportunities to build institutional track records. The BBB will commit approximately 50% of each fund's total capital. Finance minister Rachel Reeves emphasized this forms part of the UK's economic strategy to support businesses nationwide.

This initiative arrives as CEO Louis Taylor prepares to step down after four years, with chief financial officer David Hourican set to serve as interim CEO while the bank searches for a permanent replacement. The program directly addresses the persistent diversity gap in UK venture capital.