(Re-)Engagement with education and employment is a common objective within interventions designed to enhance social inclusion through sport participation. Consequently, the acquisition of capital to expedite the (re)engagement process has become a familiar theme. Literature has examined how various forms of capital may be accumulated through participation in sport. However, competing literature has explored how participation may enable positive psychological capital—which comprises personal qualities such as resilience, hope, optimism and self-efficacy—to be developed. This article adds to this work, by providing insights from a sports-based project which aimed to develop social inclusion among marginalized youth in three regions of the UK. Utilizing data from semi-structured interviews, we highlight how participation enabled young people to enhance the components of positive psychological capital, and offer a further theoretical vantage point from which to understand and debate the relationship between participation in sport and social inclusion.