Key Takeaways
- • The Refugee Venture Fund (RVF) launches with an initial £300,000 pilot fund to invest exclusively in high-growth businesses founded by refugees in the UK, with planned investments of £50,000–£100,000 in roughly three to five companies.
- • The pilot is designed to build an evidence base for a planned £10 million fund focused on refugee-first investments.
- • The fund is set up by The Entrepreneurial Refugee Network (TERN) in partnership with Atomico, with founding shareholders including the Ahluwalia Family Office and This Day Foundation.
- • Research cited by the fund estimates an untapped £5.1 billion in economic potential among the UK's refugee population, while 26,500 refugee entrepreneurs already contribute £520 million to the economy.
- • Applications open in October 2026, with the first investment round expected to close in February 2027 and all pilot funds allocated by April 2027.
Summary
A new specialist venture capital fund, the Refugee Venture Fund (RVF), will invest exclusively in high-growth businesses founded by refugees in the UK. The fund launches with an initial £300,000 pilot and expects to make first investments of £50,000–£100,000 in approximately three to five companies. According to the announcement, the pilot is intended to demonstrate both the depth of investment opportunity within the refugee founder community and the potential for competitive financial returns, creating the evidence base for a planned £10 million fund focused on refugee-first investments.
The fund is set up by The Entrepreneurial Refugee Network (TERN), described as the only UK organisation dedicated to supporting refugee entrepreneurs to start and grow businesses. TERN has a decade of experience in this area and previously spun out Skylight Ventures, which provides micro-loans to refugee entrepreneurs. The fund is structured in partnership with Atomico, with founding shareholders including the Ahluwalia Family Office and This Day Foundation. The pilot will operate with a small group of aligned cornerstone investors through a special purpose vehicle. The fund is industry-agnostic, though high-growth businesses in software, AI and climate technology are of particular interest.
The launch targets structural barriers that the fund says refugee founders face in accessing finance, including limited UK track records, smaller professional and investor networks, unfamiliarity with the UK funding ecosystem, and misconceptions among investors about refugee communities. Charlie Fraser, strategy & partnerships director at TERN, said the problem is "not a shortage of entrepreneurial ability or ambition" but access to networks and capital. Research cited by the fund estimates £5.1 billion in untapped economic potential among the UK's refugee population, and that 26,500 refugee entrepreneurs already contribute £520 million to the economy.
Eligibility requires majority-refugee ownership or leadership, UK-based founders, and legal refugee status. TERN will supply an established pipeline of prospective portfolio companies, while the RVF will work with universities, diversity-focused incubators, refugee scholarship networks and diaspora organisations to identify founders outside conventional venture networks. Portfolio businesses will receive 12 months of targeted coaching and access to TERN's network, including on-demand experts and a peer community of more than 700 refugee founders.
The fund opens for applications in October 2026, with the first round of investments likely to close in February 2027 and all pilot funds expected to be allocated by April 2027.
The fund is set up by The Entrepreneurial Refugee Network (TERN), described as the only UK organisation dedicated to supporting refugee entrepreneurs to start and grow businesses. TERN has a decade of experience in this area and previously spun out Skylight Ventures, which provides micro-loans to refugee entrepreneurs. The fund is structured in partnership with Atomico, with founding shareholders including the Ahluwalia Family Office and This Day Foundation. The pilot will operate with a small group of aligned cornerstone investors through a special purpose vehicle. The fund is industry-agnostic, though high-growth businesses in software, AI and climate technology are of particular interest.
The launch targets structural barriers that the fund says refugee founders face in accessing finance, including limited UK track records, smaller professional and investor networks, unfamiliarity with the UK funding ecosystem, and misconceptions among investors about refugee communities. Charlie Fraser, strategy & partnerships director at TERN, said the problem is "not a shortage of entrepreneurial ability or ambition" but access to networks and capital. Research cited by the fund estimates £5.1 billion in untapped economic potential among the UK's refugee population, and that 26,500 refugee entrepreneurs already contribute £520 million to the economy.
Eligibility requires majority-refugee ownership or leadership, UK-based founders, and legal refugee status. TERN will supply an established pipeline of prospective portfolio companies, while the RVF will work with universities, diversity-focused incubators, refugee scholarship networks and diaspora organisations to identify founders outside conventional venture networks. Portfolio businesses will receive 12 months of targeted coaching and access to TERN's network, including on-demand experts and a peer community of more than 700 refugee founders.
The fund opens for applications in October 2026, with the first round of investments likely to close in February 2027 and all pilot funds expected to be allocated by April 2027.
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