Royal Bank launches “game-changing” IP lending product for Scotland’s scaleups, spinouts and other IP-rich firms

Image: NatWest Group

Royal Bank of Scotland has become the first bank in Scotland to allow companies to borrow up to £10 million against the value of their IP, with the launch of an innovative new product that allows high growth business to access lending using the value of their Intellectual Property (IP) as collateral.

In a media announcement, the RBS says that the IP-backed loan scheme went live today (3 June 2026) at a launch event at the University of Edinburgh attended by representatives from Scotland’s technology and creative sectors.

The lending offer, the first of its kind in Scotland, will deliver loans ranging from £250,000 to £10 million and help businesses that do not have significant physical assets, like machinery and buildings, to borrow against the value of their IP instead. This type of lending is particularly attractive to companies in the technology and creative sectors.

NatWest Group, the Royal Bank of Scotland’s parent company, launched IP lending for businesses in England and Wales in 2024. All applicants’ IP is independently reviewed by the Group’s specialist valuation partner, Inngot, and the bank can lend against up to 50% of the orderly disposal value found.

NatWest has already funded £34 million in loans through this scheme. This has included support for companies such as: Cardiff-based Final Rentals, a digital platform provider connecting travellers with local car rental providers; Leeds-based Iliad Solutions, a payments testing and certification platform provider; and Bristol-based Open Bionics, which makes customised artificial limbs (case study available here).

The launch of the Royal Bank’s IP-backed loan scheme was made possible by changes in Scottish law. The Moveable Transactions (Scotland) Act 2023, which came into effect in April 2025, included the creation of a new register of IP, and the ability to use it as collateral for loans.

Robert Begbie, CEO Commercial & Institutional, Royal Bank of Scotland, said at the launch event:

“This new lending offer has game-changing potential for firms in Scotland’s high growth and innovation sectors – like gaming, life sciences, and tech. As we look to the future, more and more firms in innovation industries will lack the tangible physical assets that are used as collateral in traditional lending. Our new product gives those firms with exciting ideas and high potential a new route to access the capital they need to grow.”

Martin Brassell, CEO of Inngot, said:

“Scottish inventions and creativity have shaped our world. It’s high time that we made it easier for innovative Scottish businesses to raise non-dilutive funding. Thanks to Scotland’s legal reforms, harnessing IP and intangibles is now a viable way to improve the flow of capital to the companies that need it most.”

The UK and Scottish Governments also supported the launch. Kirsty McNeill, UK Government Minister for Scotland, observed:

“This innovative funding model by the Royal Bank of Scotland recognises the evolving industrial and economic landscape, as well as showing confidence in the value and potential of these companies. It is encouraging to see new ways businesses in Scotland can be supported to grow, unlocking the technological and creative developments to benefit both now and in the future.”

And Ben Macpherson, Scottish Government’s Innovation Minister added:

“Scotland is home to an incredible array of exciting entrepreneurs, start-ups, and spinout opportunities - and it must be a shared endeavour to support our business founders establish and scale-up. Access to capital is of course fundamental to this success and I look forward the Royal Bank of Scotland’s IP-backed loan providing invaluable support to help kick-start the country’s greatest ideas and business innovation.”

The news of the IP-backed loan launch was also welcomed by the wider Scottish business and investment communities.

Hannah Dent, Investment Manager at Old College Capital (OCC), the University of Edinburgh’s venture investment fund, part of Edinburgh Innovations, said:

“Royal Bank’s IP loans are a valuable addition to the financing landscape, offering new pathways for innovative ventures that are tackling some of the world’s most pressing challenges across future health and care, climate and environment and responsible use of data and AI.”

Chris van der Kuyl, Chairman of Dundee-based computer games developers 4J Studios, added: “With the right access to capital, Scotland has the potential to be the next global hub for video games and interactive entertainment. We have the talent and the ambition. By making IP-backed lending available to video games companies across Scotland, Royal Bank of Scotland is helping to secure an exciting future for this pioneering creative industry.”

The RBS launch release concludes “You can find out more about the Royal Bank of Scotland’s new IP lending product and how to apply here.”