Solving SME nature positive finance: a UK green innovation perspective

This paper addresses two research questions: Why SME ‘FinBio’, the financing of SME nature positive biodiversity related activities, is crucial to tackling climate and environmental sustainability? How can SME finance markets deliver the required biodiversity innovation to meet the Kunming-Montreal agreement’s global 30% of land and water protection by 2030 (‘30by30’) target? Examining the self-reported global green tech leading UK economy, an innovation investment diffusion (IID) model is used within an entrepreneurial finance (‘entfin’) ecosystem lens. This provides the framework for qualitative research involving 80 finance ecosystem interviews and 10 case study innovative ecological services. Using a two-step analytical approach thematic findings reveal an urgent need to establish science-based targets (SBTs) for biodiversity that complement climate action and enhance biodiversity protection and regeneration. We find that advanced ecological technology services can achieve this, but they require substantial public-private collaborations of finance and networking support to create the synergies to meet global climate and biodiversity targets.