A research report suggests that UK-based IT firms have raised more than twice as much venture capital as their French and German counterparts combined.
UK IT firms have continued to garner near-record amounts of funding this year, according to figures published by Dealroom on behalf of the UK government.
UK IT firms attracted a total of £24 billion in 2022 (about €27 billion), more than France (£11.8 billion) and Germany (£9.1 billion) combined, increasing the total raised over the previous five years to £97 billion.
This robust performance catapulted the UK tech industry to a valuation of $1 trillion earlier this year, becoming the third country to do so after the US and China.
Digital minister Paul Scully said that the Dealroom report shows the UK tech sector’s impressive performance this year and indicates an attractive ecosystem for businesses.
“UK tech has remained resilient in the face of global challenges and we have ended the year as one of the world’s leading destinations for digital businesses”, Scully said.
“This is good news and reflects our pro-innovation approach to tech regulation, continuing support for startups and ambition to boost people’s digital skills.”
The stats suggest that the UK IT industry outpaces its European counterparts. According to Dealroom, the industry is worth more than double that of Germany, which is valued at $476.2 billion.
The UK government wants to continue to develop digital skills to drive the industry’s growth. According to the government, upskilling and reskilling have become a “key part of the UK’s dominance” in technology.
The data shows that over 3,000 edtech businesses have garnered £1.7 billion in investment over the last five years. Many of these businesses are focused on re-training or developing relevant skills.