April 06 ,2017 | by Hari Sri

UK tech companies have doubled since Brexit vote, research shows

UK tech companies have doubled since Brexit vote

Tech companies in the UK have more than doubled since the Brexit vote, an analysis of data from Companies House has shown.

The data showed that the number of tech companies in the UK increased from 2,325 to 5,995 in the eight months following the EU referendum.

Highest

The data revealed the locations that saw the highest rise in the number of tech companies, with London and the South East experiencing the biggest increase, followed by the North West.

Research from audit, tax and consulting services provider RSM showed an increase in business and domestic software companies, software publishing and computer programming companies incorporated in the North West, with the number of businesses rising from 175 prior to the EU referendum to 449 in the eight months afterwards.

Strong

Commenting on the data, RSM Head of Technology Jonathan Lowe said that although there were worries that the UK’s vote to leave the EU would reduce activity in the tech sector and companies would move overseas, they are actually staying and multiplying, and we have witnessed a strong rise in incorporations in the North West, particularly in the Greater Manchester area.

He stated that this strongly suggests that the entrepreneurial spirit in the North West region is alive and well.

He added that there was a dip in tech company incorporations nationally in the run-up to the EU referendum, which was most likely a result of the uncertainty surrounding the vote, but he stated that private equity businesses, venture capitalists and angel investors and are still supporting and investing in UK tech.

Hari Sri

Hari is the LSBF Blog's News Editor. He manages the editorial content on the blog and writes about current affairs, SME, entrepreneurship, energy, education and emerging market news.

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