The flagship fund for a government-backed initiative aimed at boosting access to finance for female business owners has reached a formal first close of £130 million.
The ‘Women backing Women’ fund of funds has been set up for the Invest in Women Taskforce, which was established by the Department for Business and Trade to tackle the big funding gap between male and female entrepreneurs.
Run by Bootstrap4F, the first close of £250 million brings together investment from Barclays, the British Business Bank, M&G plc and Nationwide. The fund of funds contributes to the Taskforce’s total £635 million funding pool of commitments.
Bootstrap4F said it will now begin investing in fund managers that meet gender diversity and commercial returns criteria to reflect “the Taskforce’s core conviction that backing female and mixed-gender teams is not simply the right thing to do, but a smart investment decision”.
Women business owners receive less than 2% of all equity investment, a figure that has barely changed in the last decade. Out of £18 billion equity investment in 2025, fully female-founded teams received just 1.75%.
Introducing a Female Enterprise Investment Scheme was one of 26 recommendations in a report by the Women and Equalities Committee published last year.
Chair Sarah Owen MP said the committee received “concerning evidence that female entrepreneurs face significant disadvantages in accessing finance, networks and support due to systemic bias, a lack of diversity among investment decision-makers and entrenched cultural norms”.
Hannah Bernard, co-chair of the Invest in Women Taskforce, said:
“This is not an act of goodwill, it is a commercial and economic imperative. Women-led businesses deliver 35% higher returns and re-directing capital to female and mixed teams represents one of the most significant untapped opportunities for UK economic growth. The breadth of institutional backing in this first close demonstrates the investment ecosystem is beginning to act on what the evidence shows.”
Debbie Wosskow, co-chair of the Invest in Women Taskforce, said:
“We needed to change what ‘normal’ looks like, and it is a market correction that is long overdue. I’m incredibly proud of what we’ve built with our investment partners – it is an historic achievement, and we’re delighted that institutions have recognised the opportunity on the table. They have shown real leadership. We now need more investors to come aboard and join us on this journey.”
Minister for investment Lord Stockwood said:
“The UK is a thriving business hub, and this £130 million investment into the Women Backing Women fund is a major moment in showcasing the power of government and industry in coming together to make a positive difference in our investment environment.
“Through the Invest in Women Taskforce, we are creating further opportunities for female founders and encouraging more women to become investors to make a real difference in the sector and in our country.”