Barclays Climate Ventures Fuels £500 Million Surge in Global CleanTech Over Five Years

Barclays is placing strategic bets on the future of the planet through its Climate Ventures arm, an initiative that aims to back early and growth-stage companies developing solutions to tackle climate change directly. From cleantech to renewable energy, these startups often face steep financial cliffs: capital-intensive models, extended return timelines, and the kind of risk that sends most investors running for the hills. But Barclays sees a gap, and a golden opportunity.

According to the bank, its investments have not only advanced its climate commitments but have also attracted £305 million from other investors, catalysing over £500 million in total climate tech funding over just five years. In simple terms, for every £1 Barclays puts in, an additional £2.18 follows from elsewhere. That kind of leverage can be a lifeline for climate-focused startups that often struggle to raise funds due to uncertain returns and high initial costs.

Steven Poulter, Head of Barclays Climate Ventures, refers to it as addressing the “missing middle”-the often-overlooked space between idea-stage moonshots and profitable green giants. This is the zone where promising startups frequently stall, as traditional venture capitalists often shy away from high-risk, capital-intensive business models. Poulter and his team aim to change that by stepping in where others hesitate. Still, it’s not all sunshine and solar panels.

A recent report from climate think tank InfluenceMap casts a critical eye on Barclays’ broader portfolio. Despite touting its net-zero ambitions for 2050, the bank has reportedly invested more capital in fossil fuel companies than in climate-friendly ventures. Along with other UK financial giants, such as HSBC, Barclays has been flagged for dragging its feet on winding down fossil fuel investments.

The report also sounds the alarm on so called “stranded assets”, investments in fossil fuel infrastructure that could become financially worthless if climate regulations tighten. InfluenceMap’s message is clear: banks must pivot faster, or they risk being left behind, financially and morally, in a rapidly changing landscape.