UK tech firms secure record foreign investment

Deliveroo app

Good news for the UK tech sector as investment continues to surge. In the first seven months of 2019 British firms secured more foreign funding than during the whole of 2018, according to new research.

Fast-growing UK tech companies secured a “staggering” 6.7 billion US dollars (£5.5 billion) in investment in the period to July, according to new research by Tech Nation and Dealroom.

The research for the Department of Digital, Culture, Media and Sport’s digital economy council revealed that the UK has overtaken the US for the amount of investment per capita.

Funding growth was driven by US and Asian investment in unicorns such as a renewable energy company Ovo Energy and takeaway business Deliveroo.

 

 

 

American and Asian investors pumped 3.7 billion dollars (£3.1 billion) into UK firms during the period, making up 55% of all funding.

Other UK firms to secure major investment over the year so far included supply chain finance firm Greensill and fintech firm Checkout.com.

These fantastic figures show the confidence overseas investors have in UK tech with investment flows from the US and Asia at an all-time high. We have a longstanding reputation for innovation and the statistics endorse our reputation as one of the best places in the world to start and grow a digital business.

Nicky Morgan, Secretary of State for Digital, Culture, Media and Sport

The figures came as the digital economy council and Tech Nation launched the first Bright Tech Future Awards to recognise talent and achievement in the sector.

Eileen Burbidge, chair of Tech Nation, said: “Investment in the UK tech sector has been steadily rising for years and as these latest figures demonstrate, the momentum is increasing.

“It is incredibly gratifying to see that in addition to domestic and European investors, British tech innovators are also attracting US and Asian investor attention and allocation.”

The UK is a fantastic place to start and grow a tech company, attract talent and, ultimately, turn great ideas into products and services that consumers know and love. These figures underline the real potential that the UK tech sector has.

Will Shu, Chief Executive Officer, Deliveroo

Helping innovating businesses grow, succeed and release their potential is at the core of what we do at MPA. Our team of technical specialists have the expertise to uncover the research and development often found in daily activities. These attempts to solve technical problems in the bid to create something new, has the potential to unlock cash for any qualifying company through the government’s R&D Tax Credits Scheme.

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