UK Defence Startups Are Being Denied Banking Services Under ESG Rules

ratherbefuddled

Probably a blessing not having an account with Barclays. Try Allica.

wwdx

Its nothing new. The UK aren't known for supporting real innovation.

bvcp

what a symbolic post about how authoritarian this stuff has become

hollowonepl

Hilarious! A bit of Monty Python-alike logic too ;)

m12k

This shows that ESG needs updating. Investing in arms manufacturers is no longer just code for "support the bombing of brown people to enrich the MIC", it can also mean "ensure sovereignty and defend democracies against a hostile, desperate dictator" - treating the two as equivalent, and both as immoral, is outdated.

einpoklum

> Successive UK governments have made the case for more and better defence spending, encouraging British start-ups to invest in this fast-growing ...sector. War, invasions, occupations - it's a growth business apparently. The UK government approves.

anonymous_user9

> when defence spending was naïvely thought to be immoral. Glad that's been settled!

ivell

In many cases banks decide the account is not worth the hastle of regulation and compliance. In some countries US citizens have difficulty getting an account due to US regulations being more hassle than worth.

m000

> a British start-up focused on surveillance Good for the British people then, and kudos to ESG. As if the UK doesn't have enough surveillance as it is.

KingMob

This has nothing to do with tech, and is also boring. ESG rules preclude military startups? As they're intended to do? What's next, tobacco company bemoans anti-smoking ad restrictions?

weddpros

I wonder if UK banks have also fired BAE Systems?

dcl

The _adversaries_ once again having a good laugh.

draxen

If the US and China were secretly conspiring to sabotage Europe it would look indistinguishable from the EU SFDR and other EU "ESG accountability" acts. The SFDR and similar EU regulations were originally designed to tackle greenwashing, but has now made it almost impossible to raise money for nuclear, aerospace, and defense startups and ventures in the EU (and by network effects also in the UK). Since 2025/2026 the EU has promised to find ways ease up these regulations because of the war in Ukraine.

GDEpps

Try NatWest

matt-p

This has been a thing almost as long as I can remember. What's new here?

edh649

Hearsay from a single person about being denied a Barclays account for who knows what reason (banks never give a reason, to stop you from re-applying and getting round their KYC rules). From a suspect publication I've never heard of and very little info on the internet, linking to another 'Originally Published In' similar unheard of with little info publication. Submitted by OP with little post history and only from this site? I'd take this article with a large pinch of salt.

dismalpedigree

This isn’t just UK. Large portion of banks in US won’t work with weapons companies. It’s not law, it’s preference from their compliance groups.

Kim_Bruning

I know there's similar regulatory hurdles in the Netherlands. Up 'till recently it made some amount of sense not to finance defense, presumably because a lot of it would almost certainly end up in funny places. Not so much anymore of course.

toothrot

Poor guy, no banks taking his blood money.

asxndu

cough , cough , USDC