British SMEs get record 6.7 bln pounds equity investment in 2018

Xinhua News Agency | Jun 14, 2019 at 11:27 AM

LONDON, June 14 (Xinhua) -- British Small and Medium Enterprises (SMEs) received a record 6.7 billion pounds (about 8.5 billion U.S. dollars) equity investment in 2018, figures released Friday by British Business Bank, a government's economic development bank established in 2014.

According to its Small Business Equity Tracker 2019 report, a record 6.7 billion pounds of equity finance was invested into British SMEs in 2018 -- the second successive year standing over 6 billion pounds.

Notably, equity investment outside London soared by 29 percent, compared with the last year, to 2.8 billion pounds.

Report showed that technology sector played a crucial part in equity investment, with 44 percent of investment flowing into tech companies. Within technology sub-sectors, software attracted the most deals and investment in 2018, with 361 deals worth 1.6 billion pounds.

Keith Morgan, CEO of British Business Bank, said: "the UK's SME equity finance market saw a record year in 2018... This is a clear sign of investor confidence in British smaller businesses and their potential for growth."

Alice Hu Wagner, Managing Director of Strategy Economics and Business Development in British Business Bank, said: "We are particularly pleased to see a 29 percent increase in investment outside of London."

"The British Business Bank continues to work to address regional imbalances in access to investment to ensure smaller businesses across the UK can access the equity finance they need to fulfil their growth potential," Wagner added. (1 pound = 1.27 U.S. dollars)