Current status: Answered by Kate Forbes on 8 September 2025
To ask the Scottish Government how much funding it provided to the Scottish Growth Scheme in the financial year (a) 2023-24, (b) 2024-25 and (c) 2025-26.
The Scottish Growth Scheme (SGS) was established in December 2018 and operational during financial year 2019-20, being set-up to provide early-stage equity and debt to small and medium enterprises (SMEs) across Scotland. To date, the Scottish Government has committed £97 million to the SGS, which is deployed via five commercial fund managers.
Scottish Government has invested the following totals across SGS fund managers:
In summer 2024, at the end of the initial capitalisation period of the SGS, a decision was taken not recapitalise four of the five SGS fund managers. This decision was taken due to the presence of similar public investment offerings and recapitalisation of the SGS could be seen as duplicative which would not be an efficient use of public funds. It should be stated that this decision was taken at the end of the capitalisation period and all fund managers not recapitalised will continue to manage the existing investment portfolio until 2029, as originally agreed.
In closing the fund manager who was recapitalised offered a point of separation from other public sector supported investment offerings, focusing on supporting innovative globally ambitious Scottish companies access key growth equity investment from international markets. This fund manager will continue to manage their initial portfolio to completion until March 2029 but have also been recapitalised and are therefore able to make new investments into companies which align with their investment strategy.