The UK is the third world’s biggest market for clean tech investment, claims a report by PWC.

More climate tech start-ups have received venture capital funding in the UK than in any other European nation.

COP26 boost

Between 2013 and 2021, UK-based firms received investments exceeding £6.5bn – a figure bested globally by only China and the USA.

PwC attributes part of the success recorded in 2021 to the UK’s position as COP26 host.

UK leader

Last year, the government revealed a 10-point plan for a “green revolution”, which included encouraging green finance and innovation to help make the UK a world leader in green technologies.

UK Export Finance (UKEF), the UK’s export credit agency, also launched a call at COP26 for businesses to take advantage of renewable export opportunities around the world in the race to net zero.

Green trade is set to be worth £1.8 trillion by 2030, delivering up to £170 billion of export sales in goods and services for the UK by 2030. 

Export opportunity

Trade minister Anne-Marie Trevelyan further highlighted the opportunities for sustainable exports at the recent African Investment Conference.

Recent examples of green investment have included £31m government funding for UK floating offshore wind farms.

Fusion energy

Meanwhile, the site of the UK’s first prototype fusion energy power plant is being narrowed down.

A series of consultations in five shortlisted areas will lead towards the naming of the first site for the STEP programme to supply low carbon, clean energy, the government has announced.

“The UK government is committed to net zero by 2050 and fusion is one part of the long-term solution, alongside a continued increase in energy from renewable sources like wind and solar power,” said Tristram Denton, head of commercial and programme development for the Spherical Tokamak for Energy Production (STEP), a UK Atomic Energy Authority (UKAEA) programme.

Records

Edie.net reports that the global climate tech VC market grew from £315.5m in 2013 to more than £24bn in the first half of 2021.

Another report by BloombergNEF reveals clean energy investment rose 27% last year, but warns further rapid growth is needed to deliver on global climate goals, Business Green reports.

Global investment in clean energy technologies and infrastructure set fresh records in 2021, soaring to $755bn.