The UK tech sector has gained record breaking venture capital investment following the Brexit vote, a decision that many predicted would doom our leading industries.
Between January and June 2017, the London tech sector gained £1.1bn in venture capital investments, with the UK as a whole raking in £1.3bn.
This figure quadruples that of the same period in 2013, pointing to Brexit as a stimulant for the massive interest in the UK tech sector.
Tech companies in London have received double the investment of any European city in the year since the vote to leave the European Union was cast, reflecting investor confidence in UK performance.
The Mayor of London’s promotional agency, London & Partners, has created this report, a not-for-profit organisation that promotes London internationally.
London is renowned for tech innovation, and numerous companies are currently drawing the attention of investors. The virtual reality startup Improbable struck a £388m deal, and the impressive rise of challenger bank Monzo has also caused a stir among other impressive front runners.
Laura Citron CEO of London & Partners said: “London remains Europe’s leading hub for global investors. The Brexit vote has understandably created some uncertainty but it is no surprise to see that London continues to attract more than double the amount of investment than any other European city.
“The fundamental strengths of London as a centre for technology and business have not changed and we have everything companies need to be successful: policy makers, finance, infrastructure, world-class universities and talent. This year’s record investment levels show that London’s tech sector continues to thrive and remains open to investment from all over the world,” said Citron.
London’s dominance in the tech industry has not only proved impervious to Brexit fears, but it has in fact accelerated and gained even greater attention and funding.
Improbable CEO Herman Narula added: “For a technology business looking to raise growth capital and scale, investment can come from anywhere in the world, but London is a great place to be located. London provides access to the UK’s tremendous tech talent, and is also an attractive place to work for the global talent vital to growing a tech business.”