Millions of British workplace pension savers are about to own a slice of UK quantum computing, battery and genomics start-ups. Scottish Widows, Aberdeen Investments and IP Group said on Monday that a pension fund run for Scottish Widows has made its first venture-growth allocations, with Oxford Quantum Circuits, Quantum Motion, Nyobolt and Genomics expected to be the first companies to receive money. None of the partners disclosed how much is being invested.

Illustration: AI-generated abstract image.

The money comes from the CG Scottish Widows Growth LTAF, a Long-Term Asset Fund, the UK fund structure designed to let defined-contribution pension schemes hold illiquid assets such as private companies. Aberdeen Investments manages the fund's growth sub-fund and has appointed London-listed IP Group, which describes itself as the most active UK-based early-stage science and technology investor, to run a dedicated UK venture-growth portfolio inside it.

According to the announcement, initial investments are "expected to include" four companies: Oxford Quantum Circuits, which builds commercially available quantum computers; Quantum Motion, which is developing silicon-based quantum computers designed for mass production; Nyobolt, a developer of ultra-fast-charging battery technology; and Genomics Limited, which uses AI and large genetic datasets for preventative healthcare and drug discovery.

The statement does not give the size of the mandate, the value of each investment, the valuations paid or whether the fund is buying new shares or existing ones. It also does not say what share of members' savings the venture portfolio will represent.

Plugging the follow-on gap

The partners present the mandate as an answer to one of the UK innovation economy's best-known problems: the shortage of large, patient domestic investors for companies that have proven their science and need money to scale. "The UK has no shortage of scientific excellence and does not lack entrepreneurship or talent to develop globally relevant ideas. What competitive companies have lacked is sufficient pools of patient domestic capital to help them expand and grow," said Nalaka De Silva, head of private markets solutions at Aberdeen Investments. "This partnership turns intent into investment."

Peter Fitzgerald, chief investment officer of Scottish Widows, said pension savers "should be able to benefit from the growth and innovation taking place across the UK," and that the fund gives workplace pension customers access to opportunities "that have traditionally been available mainly to institutional investors."

Greg Smith, chief executive of IP Group, said the partnership creates "a pathway for millions of pension savers to participate in the value created by the next generation of technology leaders," adding: "We believe this is only the beginning of a much larger opportunity."

Why it matters for European tech

UK and European deeptech companies have long relied on US investors and sovereign funds for their larger rounds, often at the price of moving headquarters, listings or ownership abroad. Pension capital is the biggest untapped pool that could change that, and the UK government has pushed providers to put more of it into private markets, including through the Mansion House Accord signed by major workplace pension providers in 2025. Monday's announcement is one of the first concrete examples of that money reaching named start-ups.

The deal also has winners beyond savers. For IP Group, the mandate brings a new stream of fee-earning, third-party money to manage at a time when listed venture investors have traded at steep discounts to their portfolios. For the four companies, it promises a domestic backer for later rounds. For pension members, it brings the higher risk and long lock-ups of venture investing. Until the sums are disclosed, it is too early to say whether this is a meaningful shift or a symbolic first step.

Sources

• IP Group plc, RNS announcement 2909B, "IP Group appointed to manage UK growth portfolio", 2 November 2026 (including the joint Scottish Widows, Aberdeen Investments and IP Group release)
• Tech.eu, "From pensions to quantum: UK retirement savings back Britain's deeptech ambitions", 2 November 2026
• Pensions Age, "Scottish Widows announces UK VC pension investments through LTAF", 2 November 2026