UK named tech unicorn capital of Europe

New figures have shown that the UK is the tech unicorn capital of Europe, with 37% of Europe’s tech firms that are unicorn status being based in the UK.

The figures, which coincide with London Tech Week, show that the UK is home to 13 of Europe’s 34 unicorn firms, which are companies that are valued at £1bn.

Prime location

The UK’s unicorns now account for $23bn (£17.1bn) of the combined value of $62bn for Europe’s 34 unicorns, making the UK a top spot for tech firms, as well as a prime location for tech talent.

Additional figures have shown that the UK could be set to become home to more than 50 unicorns, including start-up challenger bank Atom Bank and online peer-to-peer lending firm Zopa.

New technology is becoming a main driver in tech investment growth, with investment in artificial intelligence (AI) rising by 50% in 2017. AI also accounted for approximately 10% of all tech raises in London last year.

Out of Europe’s ten venture capital investors, seven are based in the UK, with London-based investors being the most active when it comes to making investments in different countries.

The figures come after data published last week showed that the UK is currently leading the way when it comes to venture capital funding, with more than £5bn being raised since the EU referendum in 2016.

Digital dynamo

Commenting on the data, Secretary of State for DCMS Matt Hancock said: “These new figures show the UK is the digital dynamo of Europe and we are achieving our goal to be the best place in the world to start and grow a tech business.”