Climate Resilience Keynote: European Climate Tech VC (Dealroom)

Summary

• European Climate Tech VC investment is down slightly in 2025, but remains up 8x compared to a decade agop.4
• Climate Tech receives 15% of total European VC investment, down from its peak of 34%p.5
• Alternative forms of finance have stepped in to cover the VC funding gap, now comprising half of all European Climate Tech investmentp.7
• Deep Tech represents almost half of Climate Tech investment in Europep.11
• The Draghi report outlines an investment need of ~€800B/year across public and private sectors to boost European competitiveness and resiliencep.13
• Resilience accounts for 37% of European Climate Tech fundingp.18
• European Climate Tech companies have generated $350 billion in enterprise valuep.23

Key insights

1. European VC investment is up slightly overall in 2025, while Climate Tech VC investment has dipped slightly.p.3
2. AI and Deep Tech stand alongside Climate as the major European VC themes in 2025.p.6
3. Green Molecule and Renewable startups rely heavily on non-VC funding sources to fill the venture gap.p.8
4. Climate Tech investment in Europe has shifted back focus toward Energy.p.10
5. The Draghi plan suggests a 50/50 public and private sector funding split to deliver ~€800B/year in strategic investments.p.14
6. Proposed public funding allocations include 30% for Innovation & Technology and 30% for Energy Transition.p.15
7. The United States invests 5.6x more in nuclear energy VC ($10.1B) than Europe ($1.8B).p.21
8. Europe hosts over 300 VC-backed Climate Tech companies generating more than $25M in revenues.p.28