London’s Passion Capital closes €46 million fourth Seed fund targeting AI and FinTech startups
British VC firm Passion Capital has today announced the close of their fourth Seed fund; Passion IV, alongside two SPV’s at €46 million ($55 million) in order to deploy fresh capital into its next cohort of early-stage startups.
According to the firm, the fund is 100% backed by private capital and continues their focus on providing first cheques to founders building in AI, Fintech, and Enterprise Risk across the UK and Europe. As of now, the fund has invested in 13 companies.
“None of this is possible without the backing of our LPs. As investors we always back people first and their ability to execute, and AI is now helping them build more efficiently. Many thanks to our LPs and founders,” shared Greg Bennett, CFA, Partner at Passion Capital, in a public statement.
This close of Passion Capital’s fourth Seed fund comes amid continued early-stage investment activity across Europe in AI, FinTech, and related infrastructure.
Recent startup funding examples include Ralio (London, €2.1 million pre-Seed to develop an AI-agent payments platform), Trent AI (London, €11 million Seed to build security infrastructure for agentic AI systems), with recent funding activity such as DFF Ventures (Amsterdam, €70 million fund to back early-stage AI and software startups).
In this context, Passion Capital’s latest fund appears consistent with a broader trend of expanding early-stage investment capacity supporting AI-driven and FinTech-focused ventures across Europe.
“We are grateful to our LPs for their continued trust, and to the founders who partner with us from day zero. Passion IV is being invested by Robert, Andrew, Will, Sarah and Greg. If you’re building something ambitious, we’d love to hear from you,” said the company in a press release.
Founded in 2011, Passion Capital has reportedly delivered a net IRR of 23% and 2.5x DPI, backing over 100 companies from Seed and producing 5 FinTech unicorns.
Their team says they are committed to leveraging their knowledge and experience to help founders and early-stage teams build ambitious, high-impact, disruptive technology companies.
The firm has backed over 100 companies, including GoCardless, Tide, Marshmallow, Butternut Box, PolyAI, Lendable, and Monzo.
2025 was a notable year for the firm and their portfolio companies, with exits and liquidity events from Ravelin, Tillo and Xelix. GoCardless was also acquired by Mollie, and significant growth rounds across Attio, PolyAI, Lassie and Marshmallow.
In total, Passion Capital reportedly distributed €72 million ($85 million) to our LPs – more than the size of any of their previous funds.
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