Marvin OnumonuResolution Ventures has launched a £9m WorkerTech fund to back start-ups using technology to support workers facing low pay and insecure jobs.
The first close secured £6.75m, with aims to reach the full target soon.
The fund will make equity investments between £75,000 and £200,000 at pre-seed and seed stage, and can also make quasi-equity investments.
Resolution Ventures said the new fund will help support more start-ups tackling issues facing workers, especially in sectors defined by precarious work and low pay.
Start-ups can also access research and expertise from the Resolution Foundation.
Investors in the fund include the Resolution Foundation, Resolution Trust, Better Society Capital, Joseph Rowntree Foundation, Ufi VocTech Trust, Friends Provident Foundation, Fusion21 Foundation, This Day Foundation, Shaw Trust and Lightbulb Trust.
Morgan Lewis and Bockius provided legal support and Kin Fund Services are involved as fund managers.
Ruth Curtice, CEO of the Resolution Foundation, said: “The Resolution Foundation has always sought to understand the UK labour market, and make proposals for how to improve jobs, pay and conditions.
“While policy makers can make a difference, so too can individuals and companies.
“Resolution Ventures has a great record of backing pioneering start-ups that have made a positive change for hundreds of thousands of workers.
“This new fund means we can have an even bigger impact.”
Matthew Jenner, investment manager at Better Society Capital, said: “We invest in fund managers who combine the right values and expertise to back a diverse range of impact start-ups.
“We are excited to see how this new fund can scale the number of companies they support that deliver meaningful impact for workers across pay, power, prospects and wellbeing.
“These ventures have the potential not only to change people’s lives through the products they deliver, but also to scale rapidly and reach more workers by drawing on the Resolution Foundation’s research and insights.”
Rebecca Garrod-Waters, CEO at Ufi VocTech Trust, said: “We’re proud that Ufi VocTech Trust is an initial investor in the WorkerTech Fund.
“From inception, we’ve championed this fund because we believe socially impactful investment in key technologies is a powerful tool for building a better UK – economically and socially.
“This fund marks a significant step forward in supporting innovation that empowers workers and supports those furthest from opportunity.”
Harmony Chan, social investment portfolio manager at the Joseph Rowntree Foundation, said: “More people in work in the UK should have good and secure employment, with fair pay, autonomy, a voice in the workplace and opportunities for progression.
“The new WorkerTech fund will support more founders and organisations to help make this a reality.
“JRF’s support of the WorkerTech Partnership and now the new fund through social investment is an important part of JRF’s mission to speed up and support the transition to a future free from poverty.”
