UK now the third largest venture capital market in the world, with biggest increase in share of global investment
£72bn
of venture capital investment raised by UK companies between 2021 and 2023
3rd
the UK becomes the third largest venture capital market in the world, behind the US and China
5.8%
of global venture capital investment went to UK companies between 2021 and 2023, up from 3.4%
182%
increase in smaller business equity investment over the last 10 years
Equity investment for smaller businesses returns to 2019 levels
£8.8bn
of equity investment raised in 2023 by UK smaller businesses, returning to 2019 levels
25%
decline in the number of smaller business equity deals in 2023 to 2,152
£90bn
of equity finance to support the growth of innovative smaller businesses over the last 10 years
48%
decline in value of smaller business equity investment in 2023, in line with other equity markets
£2bn
of smaller business equity investment surpassed in each of the last five quarters, demonstrating some stability in the market
21,000 +
smaller business equity deals completed over the last 10 years, to support the growth of innovative smaller businesses
Equity investment UK strengths and opportunities
48.3%
of European fintech VC investment went to the UK in 2021-2023, and 11.3% of global investment, second only to the US
4.8%
of global VC investment in life sciences went to the UK in 2021-2023, showcasing its continued strength in this sector
6.2%
of global software VC investment went to the UK in 2021-2023, increasing from 2.7% over the past decade
4.5% and 3.8%
of global VC investment in green tech and deeptech, respectively, went to UK businesses, as the UK grows its global market share
UK vs. US comparison
0.97%
of GDP was raised in VC investment by both the UK and the US between 2021-2023, as the UK continues to close the gap with the US
2x
more fintech investment was raised by the UK than the US in 2021-2023, when adjusting for GDP
British Business Bank impact, unicorns and university spinouts
15%
of UK smaller business equity deals were supported by the British Business Bank between 2021 and 2023, an increase from 13%
62%
of current UK unicorns have either received equity finance or have been otherwise supported by the British Business Bank
18%
of UK smaller business equity investment was supported by the British Business Bank between 2021 and 2023, an increase from 15%
13%
of British Business Bank-supported deals in 2021-2023 funded university spinouts, compared to 9% across the wider market