UK based startups are managing to stay ahead of Germany and China in terms of total funding raised during Q3 2024. This, despite an overall decline, according to Tracxn Research.
Tracxn’s latest analysis of the UK tech funding landscape reveals a number of key / transformative industry trends that are shaping the fast-evolving market in Q3 2024.
Key Findings from the research report are as follows:
- The UK ranks third in terms of country-wise startup funding, ahead of Germany and China.
- Total funding into UK Tech startups dropped 27% to $2.66B in Q3 2024, compared with $3.65B in Q3 2023.
- Flo was the only new unicorn that emerged in Q3 2024
- London ($1.6B) took the lead in terms of city-wise funding
- High Tech, Enterprise Applications, and Life Sciences were the top-performing segments in Q3 2024
It’s worthwhile to note that London remains a globally-recognized and dominant hub for startups and tech firms in general. The European city’s strategic location and vast resources have helped it attract new businesses consistently, despite some recent setbacks and overall slowed activity due to socioeconomic uncertainties.
As reported earlier this year, the majority of European and UK Equity Capital Markets (ECM) leaders believe that large international companies still considere London as a destination of choice when “considering listing,” according to new research from KPMG UK.
When asked where large international companies would consider listing, almost all of the senior ECM professionals “surveyed (94%) picked New York, followed closely by London (86%), while half (50%) selected Amsterdam.”
However, as covered this past year, the UK’s Fintech sector (which forms a significant part of London’s broader tech industry) had also been bracing for a talent crunch with a significant gap emerging between the demand for digital skills and the available workforce.
Charlotte Crosswell, chair of the Centre for Finance, Innovation and Technology (CFIT), backed by the UK government, had highlighted a critical year ahead for the financial services and fintech sectors.
As covered, Tracxn Technologies Ltd. is a data intelligence platform for private market research, tracking over 3 million entities through 2,700+ industries, sectors, geographies, and networks globally.