Scottish Widows, which has more than 6m customers, has named the first four UK companies to be backed by its workplace pension savers: Oxford Quantum Circuits, Quantum Motion, Nyobolt and Genomics. The investments will go through a venture growth portfolio run by IP Group. Terms were not disclosed.
The Edinburgh-founded pensions provider, part of Lloyds Banking Group, is investing through the CG Scottish Widows Growth Long-Term Asset Fund (LTAF). Aberdeen Investments manages the fund's growth sub-fund and has given IP Group a mandate to run a dedicated UK venture growth portfolio inside it.
Scottish Widows says it is among the first UK workplace pension providers to put members' money directly into British venture-backed companies, rather than holding private markets only through global funds.
The first four
The opening portfolio covers three sectors:
- Oxford Quantum Circuits, which builds commercially available superconducting quantum computers.
- Quantum Motion, which is developing quantum computers on silicon, using chip-industry manufacturing processes.
- Nyobolt, the Cambridge-founded developer of ultra-fast-charging batteries.
- Genomics, which uses AI and large genetic datasets for preventative healthcare and drug discovery.
None of the parties has said how much is going into each company, at what valuations, or whether the money is primary capital or secondary purchases of existing shares. IP Group, which is listed in London, describes the four as "expected" initial investments.
How the money reaches savers
Scottish Widows says its main default pension funds will invest in the LTAF. Its Lifetime Investment Plus option has about 11% exposure to private markets, while Lifetime Investment Extra targets 23%. Both are offered through the Scottish Widows Master Trust. Employers can choose them as defaults, and members can pick them directly.
That structure matters for cap tables. Millions of savers who make no active investment choice would gain small indirect stakes in late-stage British deep-tech companies, which until now have depended heavily on US and sovereign capital for growth rounds.
Why it matters
The mandate is aimed at the UK's long-standing follow-on funding gap: companies that have proven the science but need large cheques to scale. Aberdeen's Nalaka De Silva said the UK had plenty of scientific talent but lacked patient domestic capital. IP Group chief executive Greg Smith called the first investments "only the beginning".
The move follows Nest's £200m venture capital allocation with Schroders Capital in July, part of a wider government push for defined-contribution schemes to put more money into UK private markets. The scale of Scottish Widows' commitment, and the valuations it pays, will be the numbers to watch as the portfolio grows.
Original source: Tech.eu — https://tech.eu/2026/11/02/from-pensions-to-quantum-uk-retirement-savings-back-britains-deeptech-ambitions/
