UK still biggest draw for Silicon Valley VCs despite Brexit
Despite fears around Brexit, the UK is still the leading European destination for Silicon Valley investors, with British tech companies raising more venture capital from Bay area VCs than any other European country.
According to investment data released by London promotional body London & Partners, over the last five years UK tech companies have received more venture capital investment from West Coast investors than France, Germany and Ireland combined.
“Silicon Valley investors continue to pump large sums of money into UK tech companies despite Brexit, with 2017 already seeing a record $1.13bn raised since the beginning of the year,” said London & Partners. The findings have been released to mark the start of the annual Silicon Valley Comes to the UK (SVC2UK), a week-long series of events bringing together leading figures from the Bay area and UK tech scenes.
Further analysis of the investment data shows that London tech companies still received the majority of venture capital investment from the Bay area, accounting for over 90% ($1.04bn) of the total amount raised by UK tech companies this year. Over the last five years, London tech firms have also raised considerably more capital ($2.5bn) than their European counterparts, with Stockholm receiving $1.4bn, Berlin on $641m and Paris generating $500m.
Sherry Coutu CBE, co-founder of SVC2UK and serial entrepreneur, said: "With some of the best global talent and a strong culture of entrepreneurship, the UK and Silicon Valley are two of the world's leading places to start and scale a technology business. While London has grown to become Europe's largest tech hub, we still have a way to go to emulate the success of Silicon Valley and there is a lot we can learn from each other."