The sustainability industry has experienced rapid growth in recent years – and that trend doesn’t appear to be slowing down. Earlier in 2024, the International Energy Agency projected global spending on clean energy to hit $2 trillion – double the amount going into fossil fuels.
But clean energy isn’t the only sector on investors’ minds. Read on to discover which 13 VC firms are making strides through sustainable investments – as well as the companies they’re backing.
2150
As one of the largest climate tech funds in Europe, 2150 is committed to decarbonising the ‘Urban Stack’ by tackling problems associated with the way cities are designed, constructed and powered.
In March 2024, the firm led an £11 million Series A funding round for Edinburgh-based electric bus company Ember, as well as a £21.8 million Series A investment into Mission Zero Technologies to unlock the low-cost capture of atmospheric CO2. In 2023, it also co-led the $46 million Series B round into residential decarbonisation company Hometree.
Ascension
Ascension is on the rise. One of the UK’s most active impact investment funds, its achievements include £2 million raised for CleanTech startup Heatio and a $10 million investment campaign into fashion rental platform and Capsule client HURR. Speaking of Capsule clients, Ascension also backed B Corp-certified laundry solution Oxwash.
With a commitment to both economic growth and corporate social responsibility, the firm’s investments are carefully chosen to drive real societal change.
Balderton Capital
As a mainstay of the European tech industry, Balderton Capital has spent the last 24 years building a portfolio of innovative companies. Currently, 34% of them are actively championing at least one of Balderton’s Sustainable Future Goals.
Since 2022, the firm has been at the helm of a $78 million investment round into renewable energy provider Fuse Energy and $57 million for carbon data scale-up Sylvera (both Capsule clients), as well as $30 million for lab-grown meat developer Uncommon and $8 million into HealthTech SAVA.
Beringea
Beringea – which has led the growth of industry group, ESG_VC – is a transatlantic venture capital firm with more than $900m under management and a portfolio of more than 60 high-growth, entrepreneurial companies.
Its portfolio in the UK includes the likes of Social Value Portal, a “tech for good” platform that measures social impact; DASH Water, a low-sugar seltzer company and Capsule client; and Lucky Saint, producers of the UK’s leading independent alcohol-free beer. In the US, the Beringea team has long backed clean technology and sustainable enterprise initiatives, including Sakti3 (solid-state batteries), Rush ReCommerce (end-to-end ecommerce returns cycle), and Floyd (sustainable furniture), among others.
Most recently, Beringea’s UK funds led a £4 million Series A round for EVIOS, which is leading the charge when it comes to electric vehicles. As well as this, its UK team were the lead investors in a £4.6 million investment in B Corp-certified cocktail brand MOTH. We’ll raise a glass to that!
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BGF
This VC’s impressive reputation precedes itself. Having invested over £4 billion in more than 600 companies since 2011, BGF is the most active equity investor in the UK and Ireland. Now, it holds a B Corp certification and actively drives investment into sustainable scale-ups.
As of 2024, it raised £17.3 million for CleanTech Sunswap, £25 million for grid stability measurement tool Reactive Technologies, and £8 million for EV charging specialist Trojan Energy. Other portfolio credits include the iconic folding bike brand Brompton, plant-based meat alternative THIS, and Capsule client and pet food brand Scrumbles – all of which hold a B Corp certification.
Eka Ventures
If you’re a founder creating positive system change, there’s a large chance you’ve heard of Eka Ventures. This impact investment fund saw an urgent need to support sustainable science, data and technology, which is why it was awarded with B Corp certification in 2022.
Now, Eka Ventures’ diverse portfolio includes zero-emissions parcel delivery service Hived, sustainable sportswear brand hylo, and Capsule client and sustainable packaging solution Sourceful. Recently announced funding rounds in Eka's portfolio include an £11.2 million round for insurance scale-up Urban Jungle, a £5 million Series A for flight-free travel firm Byway, and a £7 million Seed round for flexible energy platform Axel.
Hoxton Ventures
“The European venture capital fund with a Silicon Valley mindset.” That’s how Hoxton Ventures sees itself – and we can’t disagree.
In June 2024, the firm successfully led a $30 million seed round for artificial intelligence startup CuspAI. Just a few months later, it also helped biomaterial research company PACT secure £9 million in funding. Both brands join Hoxton’s lucrative portfolio, which already includes air quality sensor firm AirScape and cell-free bio-manufacturer FabricNano.
JamJar Investments
When it comes to VC firm JamJar Investments, it’s what’s inside that counts. Founded by the entrepreneurs behind Innocent Drinks, the team has racked up an impressive portfolio of socially responsible brands over the past few years.
Key investments include sustainable toothbrush brand SURI, eco-friendly cleaning product retailer smol, and sustainable deodorant brand Wild. In fact, JamJar co-led a £6 million Series A raise for SURI earlier in 2024. Most recently, in October 2024, the VC took part in a £2.5 million investment round for B Corp-certified womenswear brand With Nothing Underneath. JamJar certainly has an eye for rising stars.
LocalGlobe
Family and purpose matters at LocalGlobe, which was founded by father-and-son team Robin and Saul Klein back in 1999. Since then the firm has seeded impactful businesses like Citymapper , Wise, M-KOPA, Faculty and Spore.bio. Over 25 of the companies they have seeded have grown into thoroughbreds generating over $100m in revenue.
The VC first invested in Sylvera's 2022 Series A round to support the growth of effective carbon markets and doubled down in Sylvera's Series B through their sister fund Latitude. They have also backed sustainable construction innovator Concretene and renewable infrastructure developer Field.
MMC Ventures
Built on the belief that venture capital can be harnessed as a force for good, MMC Ventures has spent the last two decades proving exactly that.
Today, MMC is trusted by customer favourites including Gousto and Capsule client, Bloom & Wild, and was even awarded a well-deserved B Corp certification in time for its 20th anniversary. Recently MMC also invested in renewable energy provider and Capsule client Modo Energy, as well as other sustainability innovators like Qflow, Recycleye and Supercritical.
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Northzone
With nearly three decades of experience and over 175 investments, Northzone backs category-defining founders from seed to growth stages across Europe and the US. As part of its commitment to responsible investing, Northzone screens potential investments through the lens of the UN Sustainable Development Goals (SDGs) and tracks portfolio progress annually. While this approach doesn’t necessarily classify its companies as impact-driven, it highlights their alignment with creating a better society.
Octopus Ventures
Octopus Ventures is a VC firm that needs no introduction. As one of the most recognisable names in the investment industry, it boasts an impressive record of investing in companies dedicated to sustainable change, including Depop, Collectiv Food and OLIO.
In 2024, Octopus took part in not one but two funding rounds for Capsule clients. The first saw £5 million raised for housing tech provider Switchee in July – with the same amount being raised in August for DRIFT Energy, a Bath-based business harnessing deep ocean wind for sustainable energy production.
Seedcamp
Known for hand-picking world-class founders on a mission to solve real problems with tech, Seedcamp believes that venture capital can be used to dramatically improve our way of life. Its wide-ranging portfolio includes giants like Wise, Revolut and Synthesia, as well as ESG-focused scale-ups including Sylvera, Peppy and THIS.
Most recently, Seedcamp participated in an investment round for B Corp-certified EV salary sacrifice provider The Electric Car Scheme. As well as this, it aided Vaire Computing in securing $4.5 million to create zero-energy silicon chips.
Protecting the sustainable business ecosystem
It’s not just these VC firms that are renewing their dedication to corporate social responsibility. As a B Corp-certified broker, we’re proud to support some of the most innovative scale-ups in the sustainability space – from consumer-focused products like Wild and Ocean Bottle to FinTech pioneers like Tred, and many more.
Looking for an insurance partner that shares your ESG values? Chat with our expert team today.