British Business Bank invests £10m in Shawbrook’s £75m capital raise

The British Business Bank has announced a £10 million investment in Shawbrook Group PLC’s latest £75 million Tier 2 capital issuance, reinforcing its commitment to increasing access to finance for UK smaller businesses.

This marks the Bank’s third Tier 2 investment in Shawbrook, following a £30 million investment in 2020 and part of a broader relationship that includes a £150 million ENABLE Build transaction in 2024.

The capital raise will strengthen Shawbrook’s ability to support specialist SME markets, with the new funding boosting its capacity to offer tailored lending solutions to small businesses across the UK.

Richard Bowen, Managing Director of Direct Financial Institution Solutions at the British Business Bank, said: “This £10m investment is our third Tier 2 investment in Shawbrook Bank and follows a £150m ENABLE Build transaction in 2024, extending a successful partnership since our first investment in 2015. I am delighted to continue our work together to support diversity within the small business finance markets, helping fuel the growth of smaller businesses across the UK.”

Dylan Minto, CFO of Shawbrook Bank, added: “We are pleased to have successfully completed the issuance of £75m Tier 2 capital, strengthening our capital base to support our growth and strategic ambitions.

“We value the continued support from British Business Bank, with their long-term participation serving as a strong endorsement of our strategy and providing the capital foundation to further grow our SME lending, supporting businesses across the UK.”