South Yorkshire tech startup funding has doubled since 2019, reveals new report

Investment in South Yorkshire’s early-stage tech companies has doubled in the last four years, according to a new report from the startup support initiative Team SY launched today at the inaugural South Yorkshire Tech Summit.

Data from analysts Beauhurst revealed in Team SY’s South Yorkshire Tech 100 report show that the region’s tech startups secured equity funding totalling more than £52.6m in the first 10 months of 2022.

This is 42 per cent more than in all of 2021 (£37m) and 129 per cent up on the £23m recorded in 2019, when Beauhurst started tracking investment activity in the region.

The report reveals South Yorkshire is now home to at least 3,000 active tech startups and growing clusters of AI, data analytics, IoT, NetZero and EdTech companies. More than 400 tech companies have already been formed in South Yorkshire this year, 14 per cent more than in all of 2021, as business birth rates start to rebound following the pandemic.

South Yorkshire’s Mayor, Oliver Coppard, commented: “The South Yorkshire Tech 100 report highlights a new generation of tech startups that will drive our regional economy forward for decades.

“Thanks to our entrepreneurs, world-class research universities and talent pool, South Yorkshire is not just attracting, but creating high-quality tech companies and high-value jobs.”

“Innovation is part of South Yorkshire’s DNA, and we are going to make sure our region flourishes by working closely with stars of the sector to create an action plan for tech growth in our region. Digital and tech are the lifeblood of our economy; increasingly, every barrier is a digital or technology barrier, so it’s a vital sector for the whole of South Yorkshire.”

Darren Balcombe, deputy CEO at Capital Enterprise and Team SY lead, added: “There is a lot to be proud of in South Yorkshire’s tech economy, but plenty of work to do to turn its emerging startup scene into a strong, self-sustaining engine of innovation and growth.

“South Yorkshire is home to several market-leading tech companies and thousands of startups that need investment to scale and create new jobs faster. We aim to give those startups and the wider tech ecosystem the best start in life so that South Yorkshire can be home to many more global leaders.”

By Matthew Neville – Correspondent, Bdaily

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