The British Business Bank has made a commitment of up to £35 million to Episode 1’s Fund IV. The commitment follows the Bank’s previous investments into Episode 1’s 2014 vintage Fund I, 2018 Fund II, and 2022 Fund III.

Episode 1 is an investor backing early stage companies, primarily at the pre-seed and seed stages. It takes an algorithmic approach to finding and evaluating software-driven UK companies with a specific focus on AI, Software Infrastructure, Deep Tech and Tech Bio.

Episode 1’s strategy demonstrates strong alignment with the UK’s Industrial Strategy sectors, with a significant majority of the Fund III portfolio mapping to five of the eight priority sectors – digital and technology, financial services, professional and business services, clean energy, and life sciences. Fund IV will continue to largely back businesses within the Industrial Strategy sectors.