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SW is ‘fastest growing investment market’ in UK

The Herald

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July 08, 2026

THE Westcountry has become the fastest-growing investment market in Britain, new research has revealed.

- By HANNAH BAKER

The region recorded the biggest percentage increase in equity investment of any area of the UK in 2025, driven by major technology and energy sector deals.

Investment into smaller businesses in the South West more than doubled to £687 million last year - an increase of 104% compared with 2024 - according to the British Business Bank's Small Business Equity Tracker.

It comes despite a 13% fall in the number of deals to 121, as investors concentrated capital into fewer, larger deals.

These included £187m raised by Bristol tech business The Smarter Web Company through nine deals in 2025, and two growth-stage rounds of £105m for Salisbury-based energy company Rockhopper Exploration and £100m for clean energy company Low Carbon, which has a presence in Bristol and Exeter.

The megadeals also doubled the South West's share of UK equity investment from 3% the year before to 6% in 2025.

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