The number of UK high-growth companies yet to secure a second equity round could rise by 76 per cent to approximately 13,900 by 2035 if recent patterns in follow-on investment continue, according to new analysis from Barclays Eagle Labs and Beauhurst.
The research counts active high-growth companies that have raised one round of equity and passed the typical interval for a second round in their area. It puts that figure at around 7,900 in 2025.
Outside London, the number could rise from around 4,600 to approximately 8,300 over the same period, an increase of more than 80 per cent, the analysis found.
Manchester, Leeds, Newcastle and Belfast already record strong employment growth following a first equity investment, according to the research. Businesses in those areas, however, typically secure fewer subsequent rounds than companies based in established hubs such as London.
Barclays said this becomes more significant as businesses scale and require larger rounds of capital. The analysis found the median UK-only equity deal in 2025 was £490,000, compared with £5.77m for foreign-only investment and £6.3m where UK and international investors invested together.
Separate figures from Dealroom and HSBC Innovation Banking, published in July, showed only 16 per cent of large funding rounds involved domestic investors in the first half of 2026.
Of the areas highlighted in the Barclays analysis, Leamington Spa shows the largest projected percentage increase in companies awaiting a second round, from 50 in 2025 to 96 in 2035, a rise of 92 per cent. Aberdeen’s figure is projected to rise from 52 to 98, or 89 per cent, and Bristol’s from 132 to 241, or 83 per cent.
Manchester has the largest number of the areas listed, with 318 companies in 2025 projected to become 569 by 2035, an increase of 79 per cent. Cambridge is projected to rise from 175 to 304, or 74 per cent, and Oxford from 115 to 195, or 70 per cent.
The research found that Oxford, Aberdeen and Cambridge, rather than London, have the UK’s highest concentrations of high-growth businesses. Oxford’s concentration was 83 per cent above the UK average between 2016 and 2026, while London ranks 14th relative to the size of its business base.
Barclays said Aberdeen’s position showed high-growth activity extends beyond the more established university-led clusters in the South East. Bristol, Belfast, Newcastle, Cardiff and Leeds also outperform relative to the size of their local business populations, the analysis found.
London’s share of investment remains larger. Barclays and Beauhurst data published in July showed the capital attracted 70 per cent of total UK equity investment in the first half of 2026. The British Business Bank’s Small Business Equity Tracker 2026 found London-based companies accounted for 57 per cent of equity investment value into smaller businesses in 2025, down from 60 per cent the year before.
Barclays linked the findings to Backing Britain’s Future, under which the bank has committed to support 1.5 million businesses and entrepreneurs from idea to IPO by 2030.
As part of that programme, new Regional Leadership Boards bring together expertise from across the bank to help translate regional strengths into growth, Barclays said. The bank also has £22bn available through its Business Prosperity Fund for eligible new and existing clients seeking lending or refinancing for growth projects.
Stephen Brown, head of Barclays Eagle Labs, said: “High-growth businesses are emerging in every nation and region, often building on the distinctive industries, institutions and expertise around them.
“The challenge is helping more of these businesses convert early momentum into long-term scale. That means creating a stronger funding ladder, strengthening the investment corridors that connect regions, sharing the lessons from successful growth clusters more widely, and opening the door to larger domestic and international pools of capital.
“If we get that right, more businesses will be able to grow in the places where they started, creating skilled jobs, attracting investment and spreading regional prosperity across the UK.”
