Private capital-backed businesses are generating £10 billion annually for the Yorkshire and Humber economy, according to a new report from the British Private Equity and Venture Capital Association (BVCA). This underscores the growing importance of private capital in regional economic growth.
In 2024, investments by private capital firms in the region totalled £1.33 billion. These firms use an active ownership model, directly influencing portfolio companies through strategic and operational changes, which in turn supports broader regional development.
The number of businesses in Yorkshire and the Humber backed by private capital has risen by 15% since 2023, with 533 companies now benefiting from this investment. Venture capital plays an increasingly significant role, supporting 257 businesses, a 25% increase from the previous year. Private equity, on the other hand, backs 276 businesses, maintaining the level seen in 2023. Together, these companies now employ over 162,000 people—up 30% from the year prior.
The findings were presented at the BVCA’s Invest Yorkshire & North East England Forum, where discussions focused on boosting regional investment through reforms in pensions, local leadership, and planning.
