Read the whitepaper 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 whitepaper 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.
Subscribe to receive more articles like this here.
