The British Business Bank has committed £2mn to Cambridge Capital Group (CCG), expanding the availability of early-stage investment for UK technology companies seeking capital to grow.

The funding, provided through the bank's Regional Angels Programme and the Haatch Angel Syndicate Platform, will be used to invest alongside CCG's existing network of business angels and private investors.

The agreement is intended to increase the amount of equity finance available to promising technology businesses, particularly those seeking investment to develop products, expand operations and enter new markets.

Access to growth capital remains an important challenge for early-stage companies, which often depend on angel investors before they are large enough to attract institutional venture capital.

CCG, founded in 2000, is one of Britain's longest-established angel investment networks. The Cambridge-based organisation has invested more than £50mn in over 150 companies during its 25-year history, with its members recording more than 25 successful exits.

The group focuses on technology-enabled businesses and draws on a network of experienced investors, family offices and entrepreneurs.

Mark Barry, senior investment director at the British Business Bank, said the commitment would help address gaps in the availability of finance for younger businesses.

“Our £2 million commitment through our Regional Angels Programme via the Haatch platform will mean that more businesses are able to access the finance that they need to scale and grow,” he said.

The agreement makes CCG the seventh investment partner to join the Haatch platform, which enables the British Business Bank to provide additional capital alongside established angel investment groups.

The structure allows participating networks to retain responsibility for identifying investment opportunities while increasing the funding available for qualifying deals.

Struan McDougall, CCG's founder, said the agreement would increase the group's investment capacity and support its existing portfolio.

Fred Soneya, co-founder and general partner at Haatch, said the arrangement would allow angel networks to deploy more capital without changing how they select and support businesses.

The Regional Angels Programme aims to increase access to equity finance by working with investors who have established relationships with local businesses and understand regional markets.

For technology start-ups, the additional funding could help bridge the gap between initial seed investment and larger fundraising rounds, a period when companies frequently need capital to recruit staff, develop technology and demonstrate commercial demand.