By Daniel Lanyon on Wednesday 7 February 2018
Foreign cash was one reason for the increased support for tech start-ups.
New findings show record investment into UK start-ups in 2017 with foreign investors backing 79 per cent of deals over £50m which included UK fintech’s best ever year for funding, according to UK research firm Beauhurst.
More than £8.2bn was invested, more than ever before and twice as much as 2016. This was a record year for ‘megadeals’: 29 investments of £50m with foreign investment backing 23 of these megadeals. London took 72 per cent of all megadeals.
“The pool of capital available to UK private businesses has deepened significantly. The question now is not so much about making sure that companies have access to enough capital but rather that they have access to the right kind of capital. In 2018 we’ll see a shift away from promoting patient capital to preventing impatient capital,” the firm said.
Henry Whorwood, Senior Consultancy Associate, Beauhurst adds: “More and more business owners are recognising that with strong financial backing and genuine support there are as many opportunities as challenges, and that growth is out there. These results demonstrate that entrepreneurialism across the UK is alive and well.”