The CreaTech Report 2021: Venture capital firms back UK as global CreaTech hub
Venture capital investment in UK CreaTech businesses reached record levels in 2020, a new Tech Nation report reveals. The research, commissioned by the Creative Industries Council in association with Moore Kingston Smith and Digital Catapult, shows that almost £1 billion was invested in businesses spanning the tech and creative sectors. Despite tough economic conditions in 2020, funding grew by 22% year-on-year. UK CreaTech attracted more VC funding in 2020 than any other European country. It’s now the third biggest destination for VC CreaTech investment worldwide, after the USA and China.
The main findings of Part 1 of this report reveal:
- CreaTech companies in the UK raised nearly £1 billion in VC investment in 2020, a 22% increase from 2019
- The UK is third in the world for CreaTech VC investment, behind just the US and China
- CreaTech investment constituted over 9% of total VC tech sector investment in 2020, compared to 6% in the US and China
- CreaTech companies raised more than Energy tech in 2020, with just under £1 billion, compared to Energy tech’s £846 million
- CreaTech VC investment represented approximately 25% of that invested in Fintech in 2020
- Artificial Intelligence and Machine Learning based companies received the highest proportion of CreaTech investment in 2020 with £478 million raised
To view the full report, please click here.