Scotland’s next generation of business founders is set to benefit from a new £2.5 million investment announced as part of a record £45 million commitment to innovation, enterprise and entrepreneurship in the draft Scottish Budget for 2026 to 27.
The funding forms part of a wider package aimed at supporting people and businesses at every stage of their journey, from encouraging those from disadvantaged or under represented backgrounds to start a business, through to tailored support for companies ready to scale.
The Scottish Government says the investment is designed to strengthen Scotland’s entrepreneurial pipeline and ensure promising ideas have the backing they need to become sustainable employers and contributors to local economies.
A significant portion of the funding will continue support for the Techscaler programme, which now has more than 1,900 members across over 1,400 startup and scaleup businesses operating in Scotland.
Ministers say Techscaler has become a key part of the country’s startup ecosystem, offering founders access to mentoring, networks, and practical support to help turn ideas into viable companies.
Deputy First Minister Kate Forbes visited Galashiels to meet business founders supported through South of Scotland Enterprise’s Pathways Pre Start programme.
The programme, which focuses on early stage founders, is now in its second phase following a successful pilot in 2024 to 25.
So far it has delivered specialist coaching to more than 700 existing or prospective founders, with that support contributing to the creation of over 220 new businesses.
Speaking during the visit, the Deputy First Minister said the new budget reflects a long term commitment to entrepreneurial talent as a driver of economic growth.
“The Scottish Budget 2026 to 27 continues our support for the innovation and entrepreneurial talent that is the backbone of any prosperous, growing economy.
“We have been working systematically to develop the pipeline of support required to help businesses develop, grow and prosper.
“Scotland is one of Europe’s most dynamic start up economies, outpacing the UK, and we are making clear progress in establishing the right conditions to help business founders succeed,” she said.
“I expect this progress to accelerate as we invest record funding in helping start and scale Scottish business talent.”
Chief Entrepreneur Ana Stewart said the budget builds on recent momentum and widens access to entrepreneurship.
“Scotland is making progress toward becoming an entrepreneurial nation, establishing strong foundations for those starting their businesses.
“This year’s budget strengthens that momentum by further investing in proven programmes, including Pathways Pre Start and Scottish EDGE, which increase access into entrepreneurship and widen participation.”
She said supporting founders through every stage remains a central priority.
“One of my top priorities is to listen to and support our entrepreneurs from startup through to scaleup.
“The Scottish budget allows us to build on this work as we ensure our entrepreneurs have the necessary support to start, scale and stay in Scotland.”
