The city of London has exploded! Asian investment in UK tech start-ups skyrockets, leaving the EU in the dust.
IN THE POST-BREXIT ECONOMIC ENVIRONMENT, INVESTMENT IN BRITISH TECH START-UPS CONTINUES TO SOAR.
Huge sums of money have flowed into the UK’s fintech sector from Asian and Middle Eastern investors. “The UK digital sector is home to the most innovative, most interesting, and most globally scalable firms in the world, so it’s no wonder Asian investors are seeing just what a wealth of talent we have here,” Matt Warman, Minister for Digital Infrastructure, told the PA. “Investors throughout the world are taking advantage of the UK’s high-skill, diverse economy, and it’s excellent to see investors in Asia having invested more than £1.7 billion (two billion euros) into UK IT companies,” said Gerry Grimstone, Minister for Investment at the Department for International Trade.
“With our Office for Investment, Investment Council, and regional Trade and Investment Hubs making it easier for businesses to locate the right projects and assets that fulfill our strategic priorities, we are stepping up our efforts to encourage investment into all corners of the UK.”
According to new figures, investment raised in the first half of 2021 nearly eclipsed the total amount raised in the entire year of 2020.
Asian and Middle Eastern investors had put more than £1.7 billion into UK tech companies by the end of June.
This amounted to 13.2 percent of total inward investment into the United Kingdom.
According to the Digital Economy Council of the Department of Digital, Culture, Media and Sport, 2021 is on course to be an even stronger year for investment flows from Asia to the UK than 2020.
According to Innovate Finance, UK fintech startups raised £4 billion in the first half of 2021.
With investment in the sector beyond pre-pandemic levels, this surpassed the sum secured in the first 12 months of 2020.
However, RSM, an accounting firm, stated that obtaining financing is still tough.
Boris Johnson’s government has been concentrating its efforts on transforming the United Kingdom into Europe’s tech hub.
This drive was bolstered earlier this month when Wise, previously TransferWise, chose London as the location for its first public offering.
The TransferWise initial public offering was the largest of the year.
It was also the largest fintech IPO in the history of the London Stock Exchange.
The two have also been drawn to SaltPay and Checkout.com. “Brinkwire News in Condensed Form.”