The UK tech business has a mixed market worth of $1.2trn (£886bn) within the first half of 2025, in line with new analysis.
UK tech startups have raised greater than $7bn (£5bn) in enterprise capital investments within the first half of the 12 months, which included the largest first quarter fundraise of the previous three years, in line with the Tech Nation 2025 report, launched at London Tech Week.
In response to the report, the worth of the UK tech business as of the primary half of 2025 was greater than double the scale of Germany’s and France’s mixed, regardless of considerations that the UK was ceding tech floor to European powers.
“UK Tech is rising at a compound annual progress price of 12.5% outstripping lots of our European counterparts,” mentioned Marco De Novellis, group editor at Tech Nation dad or mum firm Founders Discussion board, unveiling the report at London Tech Week.
The dimensions of rounds has additionally grown at every stage as compared with final 12 months, with the biggest particular person investments going in the direction of the AI and deep tech sectors.
Regardless of the spectacular efficiency of UK tech corporations, the report famous that it’s taking increasingly time for British startups to boost funding.
In response to its analysis, the typical time it takes a UK startup to go from launch to Sequence C has nearly doubled since 2019, reaching 9.6 years.
Three-quarters of UK tech founders surveyed for the report mentioned that entry to progress capital is their greatest barrier, which is especially true outdoors of London. In response to the report, London-based startups raised seven occasions extra funding than every other UK area in 2024.
London’s tech business alone was valued by the report at $693.7bn (£512bn), 211% higher than second-place East of England.
The most important coverage requests from founders to enhance the state of affairs have been an rising variety of government-backed funding funds, extra pension capital going to the tech business, the removing of regulatory limitations to procurement and extra strong tax incentives for corporations growing new applied sciences.
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