Private capital-backed firms generate £10bn for Yorkshire and Humber economy each year, says report

In 2024, private capital invested £1.33bn into Yorkshire and the Humber businesses, and £129m into North East England businesses, according to the report.

Speaking on the new figures, BVCA chief executive, Michael Moore, said: “Yorkshire and the Humber are exciting destinations for private capital, whose investment is supporting the development of over 500 businesses in the wider region.

“These businesses bring real value to local communities through the 162,000 jobs they support.”

As of 2025, private capital supported 533 businesses in the region, a 15 per cent increase compared to 2023.

Venture capital firms are also playing a significantly larger role in the Yorkshire economy compared to a couple of years ago, backing 257 businesses, 25 per cent more than in 2023.

Private equity currently backs 276 businesses in the region, consistent with 2023.

These businesses are also major employers in the region, supporting over 162,000 jobs in Yorkshire and the Humber - a 30 per cent increase compared with 2023.

Mr Moore also advocated for the gap in investment seen across the country to be closed.

He said: “While there is much to celebrate about the scope and scale of investment in the region’s businesses, it could be even more substantial and close the gap with other parts of the country.

“Policymakers, regulators, and industry all have a role to play in helping to facilitate greater levels of investment in the region, to ensure that opportunities are not lost.”

As part of the report, the BVCA also made a number of recommendations to the Government and large institutions.

These include introducing support measures and entrepreneur training for students involved in university spin-outs.

A statement in the report said: “The UK’s world-class universities have a track record of producing innovative companies.

"However, their ability to spin out these companies is hindered by complex internal procedures and investor processes.

“The BVCA recommends increasing proof-of-concept funding and introducing enhanced support measures such as high-quality entrepreneurship training and improved collaboration between academia and investors.

“These actions would help to overcome commercialisation delays and ensure regional spin-outs receive the necessary support.”

The report also calls for the apprenticeship levy – a government initiative where employers contribute money to fund apprenticeship training – to be used to fund non-apprenticeship programmes.

It adds that these programmes should “focus on STEM skills to create the domestic workforce needed for the economy of the future”.

The BVCA also recommends that where there are skills shortages, British visas for “top global talent” should be simplified with a “clear criterion for recruiting talent into portfolio companies.”

The new report was launched at the BVCA’s Invest Yorkshire & North East England Forum, in Leeds.