The Chancellor of the Exchequer today announced that the Future Fund is being expanded to accommodate businesses that contribute significantly to the UK economy, but do not have their parent company based in the UK because they participated in a non-UK based accelerator programme.
Accelerators are open and competitive programmes which are designed to select and foster the stars of tomorrow. They are selective, have a fixed-term and are a cohort-based programme for early stage companies, offering access to industry mentorship, seed or venture capital and other professional support. Part of the conditions of joining some accelerator programmes outside of the UK is that the businesses are required to create a non-UK incorporated parent company.
These changes to eligibility will allow a wider number of suitable companies to apply, while maintaining scheme protections against fraud and abuse and ensuring that the Future Fund continues to support economic activity in the UK.
A non-UK ultimate parent company of a corporate group which participated in an Accelerator Programme on or before 19 April 2020 may be eligible for the Future Fund, provided that the company has satisfied the following:
The Future Fund, which was developed by government and delivered by the British Business Bank launched in May and will initially be open until the end of September. As at 28 June, the Future Fund has approved £320.6m of convertible loans to 322 innovative businesses across the UK.