Menu visibility control

Video

Events

Startup Surgery

Most Recent

News

Iris Capital launches €250m European tech investment fund

News

Startup Weekly: Welsh tech accelerator calls for applications, Virgin StartUp partners with WeWork and more

Tech City Voices

Culture. There’s no app for that, Kalanick

Press Releases

‘Connected finance’ app Curve hits £50m spend ahead of UK launch
“Coffee, networking and productivity”: Workspace disruptor ‘Lounge’ launches in London
Kompli-Global’s Technology Will Make Life Harder for Money Launderers

Report: Investment in Northern tech firms reached 10 year high in 2016

Durham
twitterlinkedinFacebookgoogle_plustwitterlinkedinFacebookgoogle_plus

2016 was a record year for investment in Northern tech companies.

That’s according to data compiled by Pitchbook and analysed by Tech North.

According to ‘Tech North’s Investment Index: 2007 – 2016‘ report, investment in northern tech companies reached a 10 year high in 2016.

Hold tight but have faith: Why tech firms shouldn’t panic about Brexit and the hung parliament

The report found that a total of £326.9m was raised by northern tech firms in 2016, representing an increase of 1,551% from the £19.8m raised in 2007, with the most significant growth taking place over the previous three years.

Although the amount of funding raised last year was far higher, 2015 saw a higher number of deals, with 93 deals completing in comparison to the 74 tracked throughout 2016.

The biggest increase in capital invested from one year to the next was seen in 2014 when the figure increased from £23.7m in 2013, to £169.6m in 2014.

James Bedford, Tech North’s head of investment strategy, commented on the findings: “It’s encouraging to see the 1,551% growth in investment finance going into Northern tech companies over the last 10 years, and even more encouraging to see that last year was the best year to date.

“The fact that more than half the top angel and VC deals were done in the last two years indicates an improving investment ecosystem,” he added.

Despite the seemingly positive news, Beford went on to note that access to finance for companies in the region remained an issue.

“The North’s digital ecosystem is still at an early stage but it has huge potential. This potential will only be satisfied if the ambitions of the entrepreneurs are matched by an ambitious investment ecosystem,” Bedford said.

Sector breakdown

E-commerce (led by two large deals closed by The Hut), FinTech (one large deal announced by Durham-based Atom Bank) and SaaS were the dominant sectors throughout the 10-year period.

Interestingly, SaaS was the clear winner when it came to the number of deals that took place during the time period.

According to the report, the North West (48%) led in terms of number of deals recorded over the 10-year period, followed by the North East (28%) and Yorkshire and the Humber accounting for 24% of transactions.

Enter your email address to receive updates straight to your inbox

* indicates required
Send me news on...
twitterlinkedinFacebookgoogle_plustwitterlinkedinFacebookgoogle_plus

Editor's picks

Paris

Iris Capital launches €250m European tech investment fund
posted 14 hours ago

Startup Weekly: Welsh tech accelerator calls for applications, Virgin StartUp partners with WeWork and more
posted 18 hours ago

Culture. There’s no app for that, Kalanick
posted 20 hours ago

startup life

Uber’s CEO resigns, over £368m in UK tech funding, a new $3.3bn fund and more in The Week in Tech
posted 23 hours ago

inploi-co-founders

EXCLUSIVE: London-based Inploi raises £500,000, brings total to £1m
posted on June 22, 2017

Peter-Smith-Nic-Cary-Feb-2016

UK-founded tech startup Blockchain secures $40m Series B
posted on June 22, 2017