Published: 12th Apr 2019

Companies in London, the South East and the East of England receive 75% of all UK equity investments, new research has revealed. Researchers at the University of Leeds and Imperial College London studied equity finance deals into small to medium-sized enterprises (SMEs) and high-growth firms (HGFs) across the UK between 2011 and 2017. An exception was Scotland, which saw the highest number of deals outside of the South-East, although the overall amount invested remained relatively modest. In 2017 the overall equity gap, which is the total shortfall of equity funding in the economy, was about £10.5bn. The equity gap was greatest in the East Midlands, where the potential demand for equity investment among eligible businesses was about £560m, while actual investment was just £59m. This was followed by Yorkshire and Humberside, where potential demand was £661m and investment was £96m, and the West Midlands, where potential demand was £761m and … (To read the full article, subscribe below)