Source · Select Committees · Women and Equalities Committee
Recommendation 15
15
Accepted
Insufficient funding for female entrepreneurs and lack of transparency in Regional Angel Programme.
Conclusion
We welcome the increase in funding to the British Business Bank’s Regional Angel Programme. However, we are not reassured that a sufficient proportion of the funding will go to addressing the market failure in support for female entrepreneurs and we are concerned about transparency in who receives funding from it. (Conclusion, Paragraph 67)
Government Response Summary
The government agrees with unlocking potential and describes a £100 million expansion of the British Business Bank's innovation clusters program, alongside other initiatives like the UKEF Female Founder Export Accelerator. Critically, the British Business Bank's Investor Pathways Capital initiative will target at least 50% of its investment towards female fund managers.
Government Response
Accepted
HM Government
Accepted
Government agrees in the value of unlocking the potential of people and place, so that no matter who you are or where you live impacts your business growth. This is why we are proud to work in partnership with the British Business Bank as well as Metro Mayors who share this mission. Addressing structural access to finance barriers faced by entrepreneurs of all backgrounds across the UK is a key element of the Bank’s strategy. Announced in the Industrial Strategy, Government has designed a series of investment partnerships, giving city regions and clusters the expertise and catalytic financing to secure private investment and to deliver Mayors’ Local Growth Plans. This includes funding for Growth Hubs and the Bank’s new programme to support clusters of innovation which will coordinate investment-readiness programmes, strengthen financial networks, and connect high-potential firms in the IS-8 to investors in 10 city regions. This will be underpinned by a £100 million expansion of the Bank’s Nations and Regions Investment Fund to back businesses across the UK. Government will continue to work with Metro Mayors as they set regional economic strategies that prioritise innovation, enterprise, and inclusive growth. We will seek to support Metro Mayors as they create a supportive environment for startups and scale-ups as well as to unlock funding streams and make capital more accessible for all entrepreneurs. In addition, there are already a number of specific Government initiatives to back female founders across sectors and stages. This includes the recently launched UK Export Finance Female Founder Export Accelerator, the Women’s International Networking Programme, WAVE (Women Advancing Venture and Entrepreneurship) programme, and Innovate UK’s Women in Innovation Awards. The Invest in Women Hub, an independent website supported by the Department for Business and Trade, also offers resources including free mentorship, networks, and expert support to help women start, grow, and scale their businesses. The British Business Bank’s Investor Pathways Capital initiative will also unlock potential by reducing the barriers to entry for first-time fund managers and encouraging more talented investors across the UK to start venture funds. As part of the commitment to widening access, the initiative will target at least 50% of investment going to female fund managers that meet the access to capital requirements.