Barclays Climate Ventures has facilitated significant investment in climate technology, according to its 2024 impact report. Since 2020, the initiative has enabled £508 million in investments aimed at addressing a financing gap for growth-stage climate tech companies.
The report highlights the importance of climate tech in developing a next-generation energy system that addresses climate challenges while supporting economic growth with resilient and affordable energy. These companies often face high initial costs and long timeframes to profitability, which can deter traditional venture capitalists and infrastructure funds, creating a 'missing middle' financing gap.
Since 2020, Barclays Climate Ventures has invested £203 million globally into early and growth-stage climate tech. By leading or co-leading over half (61%) of these transactions, it has attracted an additional £305 million from third parties—equivalent to £2.18 for every £1 invested by Barclays.
Data from the Carbon Trust quantifies the broader impact of these investments, including the creation of 1,309 jobs by portfolio companies, with 664 located in the UK.
Steven Poulter, Head of Barclays Climate Ventures stated: “The UK is home to a thriving climate tech ecosystem, but to unlock the sector’s economic potential, we must find ways to address the financing gap that holds back their growth. Today’s report shows that through a willingness to adjust our risk appetite and take a new approach, we have been successful in catalysing investment into climate tech – capable of delivering UK economic growth, energy security and emissions reductions at scale. We now call for more investors to join us on this journey.”
Barclays Climate Ventures plans to invest £500 million in equity capital into climate tech start-ups between 2020 and 2027.