Mansion House reforms: UK tech sector supportive of chancellor’s aims but challenges lie ahead
11 July 2023
Commenting on Jeremy Hunt’s Mansion House speech, Ben Bilsland, partner and technology industry senior analyst, said:
‘The Mansion House Compact brings together some of the largest UK pension schemes, representing around two-thirds of the UK’s entire DC workplace market, with the objective of allocating at least 5% of their default funds to unlisted equities by 2030. Our UK tech sector will be supportive of the chancellor’s aims.’
‘London is a global leader in the technology industry, but funding and access to capital is undoubtedly a key challenge for the UK. Whilst 2021 was a record year for investment into UK tech start-ups with over $40bn of investment raised this dropped to $30.8bn in 2022.’
‘The second half of 2022 saw significant challenges for tech globally – marked by layoffs across the sector and a significant decrease in the number of funding rounds. Despite this, the UK continued to see sustained growth of new tech incorporations which indicates health in the early-stage ecosystem.’
‘RSM UK’s research indicated that 46,474 new tech companies were incorporated in 2022, rising from 38,240 in 2021.These new companies will welcome access to funds that they can use to invest in new ideas, build their workforce and ultimately boost the UK economy.’
