New study finds West Midlands energy incubator could drive green recovery

Growing demand for a green recovery from Covid-19 – has strengthened the findings from a 12-month study released today into how the West Midlands can capture the benefits of cleaner economic growth.


The report recommends building the UK’s first business incubator focused solely on energy and with a strong focus on digitalisation – to improve the success of innovative small and medium-sized companies in the West Midlands. This would include a physical incubator housed in a single building to maximise the benefits of clustering, mentoring and networking from technical and commercial experts.

According to the study, a unique combination of factors in the West Midlands makes it an ideal place for an energy incubator, including a commitment from the regional government, innovation expertise and region-specific challenges.


Funded by Climate-KIC and delivered by Energy Systems Catapult and Sustainable Ventures – the report has input from of a range of key West Midlands and national bodies including West Midlands Combined Authority, Energy Capital, University of Birmingham, Sustainability West Midlands & Innovation Alliance, High Value Manufacturing Catapult, Midlands Energy Hub, Carbon Trust, Innovate UK, Make UK, Eigen Ventures and the Active Building Centre.


  • Why Energy? Over ¾ of UK carbon emissions come from the energy needed to run our homes, businesses and transport. We need innovative UK businesses to deliver solutions to make Net Zero possible.
  • Why Incubator? It is widely recognised that innovative young businesses are much more likely to succeed if nurtured in incubators. Yet fewer than 5% of Britain’s small businesses have had any contact with an incubator.
  • Why Energy Incubator? Other than those linked to grant funding programmes, only three incubators in the whole UK have a focus solely on energy and they are all virtual incubators run by businesses.