S2 Ep. 02 Climate Tech at the Start of 2026

What actually happened in UK climate tech investment last year?

At our second live recording of Season Two, hosted at HSBC Innovation Banking during the Blue Earth Investment Forum in January, we brought the data to the table. No anecdotes, no gossip. Just numbers, trends and a candid look at what they mean for 2026.

Amy was joined by Sarah Mackintosh, Director at Cleantech for UK, and Sammy Fry, Head of Climate Tech at Tech Nation. Between them, they track thousands of startups, billions in capital flows, and the policy frameworks shaping the sector.

The headline? 2025 was not the collapse some feared. Total equity funding reached £3.9bn, debt and project finance continued to grow, and the UK remains surprisingly stable relative to its size.

But beneath that surface stability, there are deeper shifts. Early stage deals are down. Hardware investment has fallen sharply. The Series A and B “valley of death” remains a structural challenge. Meanwhile, AI continues to absorb a growing share of venture capital.

This conversation unpacks what is actually happening, where the pressure points are, and where opportunity may be building quietly.

In this episode you’ll learn:

  • Why 2025 was stronger than many expected, yet still worrying beneath the surface

  • What the decline in seed and Series A funding means for the pipeline

  • Why hardware startups are facing a 70%+ drop in investment

  • How energy and power continue to dominate climate capital flows

  • Whether AI is crowding out climate tech, or simply reshaping it

  • The role of Innovate UK, the British Business Bank and the new National Wealth Fund\

  • Why food, agriculture and human health may be the next frontier

  • What investors should actually focus on in 2026

From patient capital to policy gaps, from energy prices to food security, this is a grounded look at the mechanics behind the green transition.

If you work in venture, policy, startups or climate innovation, this is one to bookmark.

Guests

Sarah Mackintosh
Director, CleanTech for UK
CleanTech for UK is a policy and advocacy group representing UK clean tech investors.
https://www.cleantechforuk.com

Sammy Fry
Head of Climate Tech, Tech Nation
Tech Nation supports high growth tech founders across the UK, including climate and deep tech ventures.
https://technation.io

Referenced Reports & Resources

Cleantech for UK Annual Investment Reports
https://www.cleantechforuk.com/publications

Tech Nation Climate Tech Report
https://technation.io/research-news/

Net Zero Insights
https://www.netzeroinsights.com

Innovate UK
https://www.ukri.org/innovate-uk

British Business Bank
https://www.british-business-bank.co.uk

National Wealth Fund
https://www.nationalwealthfund.org.uk

Blue Earth Investment Forum
https://blueearthsummit.com

Zinc VC
https://www.zinc.vc

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S2 Ep. 01 Slow Burn: Why We Can’t Quit Coal