UNDER STRICT EMBARGO UNTIL 00.01, WEDNESDAY 01 JULY 2026
London, 01 July: New analysis shows that UK companies backed by private capital firms are more likely to be high growth than the wider business population.
The analysis of Pitchbook data, conducted by Henham Strategy for UK Private Capital, shows that private capital-backed businesses are 1.5 times more likely to also deliver annual revenue growth above 10% than those without investment, suggesting that capital and active ownership can help businesses turn improved capability and commercial ambition into sustained performance.
The findings come as the UK continues to face a long-established productivity challenge. Internationalisation and innovation activity are both recognised drivers of productivity, while sustained revenue growth can be an outcome of firms becoming more productive and better able to compete.
From growth to global markets
That growth advantage is matched by a stronger international outlook. The analysis of Beauhurst data shows that venture-backed firms are more outward looking, being 1.5 times more likely to also be strongly internationalised than those not backed by VCs. This could indicate earlier access to export markets and the investor networks that can help businesses expand overseas.
The analysis also points to a clear innovation signal. Innovative businesses often seek to protect and commercialise their intellectual property, and further analysis of Beauhurst data shows that venture capital-backed firms in the UK are also 2.6 times more likely to have a patent than those without investment.
Private capital’s active ownership model is also linked to productivity improvements directly. Analysis of published academic studies by Public First found that private capital-backed businesses increase their productivity by 1.1% per year more than the business population as a whole. This reflects a focus on management capability, good governance and adopting technology to enhance business operations.
Michael Moore, Chief Executive of UK Private Capital, said:
“Behind these findings are ambitious UK businesses trying to grow, find new customers overseas and turn good ideas into commercial success.
“For many of these firms, the difference between having ambition and being able to act on it is the right partner alongside them. Private capital can help businesses hire, invest in new technology, strengthen their leadership and open doors in overseas markets. That combination is what gives more UK companies the chance to scale with confidence.”
Paige Portal, Associate Director of Henham Strategy, said:
"As devolution accelerates, attracting private investment into regional businesses is becoming an economic imperative. Our analysis finds a clear performance premium: firms backed by private capital are more innovative, more international and grow faster. This points to a critical opportunity. Private capital can do far more to unlock regional growth - helping places turn ambition into delivery. With sectoral clusters strengthening across the UK, targeted investment now has the potential to supercharge business growth and build more productive, resilient local economies."
