Investing in Ambition: Scotland's Risk Capital Market 2025 (Scottish Enterprise)

Summary

• Total UK equity investment reached £24.39 billion across 5,982 deals in 2025, representing a 4% increase in value alongside a 7% decline in deal volume.p.7
• A single £445 million megadeal into battery energy storage firm Fidra Energy accounted for 39% of Scotland's total risk capital investment value in 2025.p.9
• Scotland's underlying market for deals below £10 million reached £357 million across 333 deals, reflecting a 4% increase in deal volume.p.25
• Predominantly female-founded businesses in Scotland secured £27 million across 25 deals, accounting for 2% of total Scottish investment value.p.54

Key insights

1. Scotland ranked fourth among the UK's 12 nations and regions for both investment value and deal count in 2025, making it the top performer outside the Golden Triangle.p.10
2. New to equity investment value in Scotland grew by 188% from £181 million to £522 million, heavily influenced by the Fidra Energy transaction.p.30
3. Scotland placed behind only the Golden Triangle for university spinout investment value, securing 10% of total UK spinout capital in 2025.p.39
4. Technology and engineering remained Scotland's most active sector by deal count with 179 deals in 2025, followed by business services with 169 deals.p.44
5. Venture capital and private equity deal participations in Scotland fell by 24% in value to £411 million across 80 deals in 2025.p.51
6. Government participations in Scottish deals grew 90% in total value to £698 million, driven by public co-investment models and national investment backing.p.51