Read the white paper from Marks & Clerk and Beauhurst here.
Aberdeen and London, 28 January 2026: A significant funding divide has emerged within the UK energy sector, according to a new White Paper from Marks & Clerk, which shows that companies securing Intellectual Property (IP) are consistently outstripping non-filing firms in the race for investment.
The findings come at a pivotal moment for the sector, following the UK Government’s recent renewables auction, which injected £204 million of public investment to incentivise domestic jobs and support clean energy growth. The report reveals that patent-backed energy companies raised £8.09 billion in investment between 2015 and 2025 - £840 million more than the £7.25 billion secured by companies without patent filings.
Investor selectivity continues to intensify, with capital increasingly flowing towards companies that can demonstrate credible innovation supported by protected IP. Patent-owning companies secured an average of £4.81 million per funding round, compared with just £3.63 million for non-patent-filing businesses. This parity underscores patent ownership as a decisive factor in funding outcomes, acting both as a signal of commercial maturity and a strategic driver of commercial direction. For investors, patents provide clearer pathways to improved return on investment by signaling scalability, competitive advantage and long-term commercial potential.
The report also highlights the wider economic impact of IP-backed growth. Patent-backed energy companies accounted for 63% of job creation in the sector in the past two years. Despite challenging macroeconomic conditions, this points to sustained business growth and economic health since 2015.
Other key takeaways include:
- £15.3 billion has been raised by innovative energy companies since 2015, reflecting a maturing ecosystem where innovation and commercialisation are closely connected.
- Integrated IP and market intelligence reveals a clear trend: companies with defined IP strategies are increasingly winning competitive funding rounds and attracting international investment. What was once primarily a legal safeguard has become a central driver of capital allocation.
- In volatile funding environments, companies with patent portfolios have demonstrated more sustained access to capital, supporting long-term market resilience and growth.
- London attracts more venture-driven, rapid scale funding, but has a lower proportion of patent filing companies than other UK regions. Scotland and the wider UK show a more balanced distribution between patent-filing and non-patent-filing companies.
Andrew Docherty, Partner and Head of Energy and Environment at Marks & Clerk, commented:
IP continues to provide companies with a strategic advantage, enabling them to shape their commercial direction with confidence and clarity. Investors are increasingly focused on the presence of patents and the role they play in supporting long-term growth and global expansion.
As the UK strengthens its position as a net exporter of innovation, patents are a golden ticket to doing business internationally. Looking ahead, we expect wider adoption of sophisticated IP analytics, giving investors and companies a clear edge in deal selection, portfolio performance and long-term growth — further enhancing the UK’s international pull.
Working in collaboration with Beauhurst, international intellectual property firm Marks & Clerk has conducted this analysis at a pivotal moment for the sector, as traditional strengths in oil and gas meet an increase in clean energy investment and the rapid adoption of AI across the energy ecosystem.