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British Business Bank invests £3.1m in tem

Press release 20 February 2026

The British Business Bank has invested £3.1 million in tem, the energy transactions scale up, as part of a $75 million Series B funding round. The investment has been made in partnership with AlbionVC. 

The round was led by Lightspeed Venture Partners, with strategic follow-on participation from Hitachi Ventures, Voyager Ventures and Schroders Capital alongside existing investors including AlbionVC and Atomico. 

tem is an AI-native energy transactions company founded in 2021. Historically, energy has been priced and traded through complex and opaque market infrastructure, which has driven up the cost of energy bills for businesses. tem is building the first AI-native energy transaction infrastructure to replace the traditional transaction flow with a single solution that removes inefficiencies and returns value back to businesses and generation owners.

tem has facilitated over 2TWh of energy transactions – the equivalent of powering all of Liverpool for a year – for its 2,600+ customers throughout the UK, including Boohoo Group, Fever-Tree, Silverstone Circuit and Newcastle United FC. 

The British Business Bank started its co-investment activity in 2021 and since then has built a portfolio of 37 companies. The Bank also has new investment capabilities following reforms in 2025 allowing it to increase the number and size of investments into UK scale-ups. 

The funding will support tem’s international expansion plans into priority markets, such as Texas and Australia. 

Leandros Kalisperas, Chief Investment Officer at British Business Bank, said:

We are increasingly active as a direct investor into high-growth UK companies. These investments provide vital scale up funding and are complementary to our long-standing support for venture capital funds.

George Mills, Investment Director at British Business Bank, said:

Energy costs are increasingly burdensome for companies, particularly those that rely on energy-intensive computing and data infrastructure. tem’s AI native platform can address long-standing inefficiencies and help to bring down costs at a time when energy prices are elevated.

Joe McDonald, CEO and co-founder of tem, says:

Energy underpins every industry in the world, and yet no one has succeeded in course-correcting the fundamentally flawed way the markets work. For decades, the industry has tried to patch over the costly inefficiency of energy transactions with new utility brands and new promises. The real opportunity in energy looks a lot like what fintech did to banking: rebuild the core infrastructure, then let innovation explode on top of it. We’re building the world’s first AI-native infrastructure for energy transactions - making them fairer, more transparent, and radically more efficient.

Further Information

If you are a journalist and have a media enquiry, please contact mediaenquiries@british-business-bank.co.uk.

Notes to editors

About the British Business Bank

The British Business Bank is the UK government’s economic development bank. Established in November 2014, its mission is to drive economic growth by helping smaller businesses get the finance they need to start, scale and stay in the UK. In doing so, we help capture the economic value of innovation for the UK and create jobs and prosperity for people across the country.

The British Business Bank’s core programmes support £23bn 1  of finance to almost 64,000 2  smaller businesses.

British Business Bank plc is a public limited company registered in England and Wales, registration number 08616013, registered office at Steel City House, West Street, Sheffield, S1 2GQ. It is a development bank wholly owned by HM Government. British Business Bank plc and its subsidiaries are not banking institutions and do not operate as such. With the exception of BBB Investment Services Limited they are not authorised or regulated by the Prudential Regulation Authority or the Financial Conduct Authority. BBB Investment Services Limited is authorised and regulated by the Financial Conduct Authority. A complete legal structure chart for the group can be found at british-business-bank.co.uk. 

The transaction described above does not constitute or imply any endorsement, warranty or recommendation by the UK government, the British Business Bank plc, its subsidiaries or any other party in respect of tem or its products or services. 

About tem

tem is an AI-native energy transactions scaleup founded in 2021 by four energy experts who scaled and exited Limejump – Joe McDonald, Jason Stocks, Bartlomiej Szostek, and Ross Mackay. Having seen first-hand the inefficiencies and opacity of the old-world wholesale market, tem is replacing it with new-world technology that puts transparency, efficiency and affordability at the heart of every transaction. tem has already facilitated over 2TWh of energy transactions and serves 2,600+ customers, including Boohoo Group, BOXPARK, Fever-Tree and Silverstone Circuit, on 4,000+ sites across the UK. Ahead of this raise, tem is already backed by leading global investors including AlbionVC, Atomico, the Branson family office and Revent VC.

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