AI and fintech investments see London rule Europe
London has been hailed as the most attractive destination for European technology investment, driven by backing for artificial intelligence and fintech ventures.
According to data compiled by London & Partners and PitchBook, UK-based tech companies attracted £2.49 billion in venture capital investment last year, nearly double that of Germany (£1.38billion), with France in third place (£1.03billion).
Deputy Mayor of London for Business Rajesh Agrawal said: “These figures demonstrate that London is going from strength to strength as a global hub for technology, innovation and creativity. The fantastic success of our tech sector is rooted in our city’s openness and our diverse, international talent pool."
Of the £2.5 billion raised by UK tech businesses in 2018, 72% came from venture capital funding, equating to £1.8 billion. The UK's booming fintech sector raised £1.2 billion, while investment in AI rose 47% to £736 million. Firms developing blockchain technology also saw record growth, securing more than £200 million in funding, up from £19.11 million in 2017.
London & Partners chief executive Laura Citron said: "2018 was another great year for investment into London's tech sector. With high levels of investment for growth sectors such as artificial intelligence, fintech and big data, our research shows that London is producing game-changing companies and ideas to change the world."