Record levels of funding have been received by Series A stage companies during the first half of 2021, boosted by the fastest scaling sector of fintech.
Mid-stage scaling tech companies have raised a record $2.7bn (£2bn) in 2021 so far, up from $2.4bn in 2020, Tech Nation has revealed.
Fintech was the fastest scaling sector, followed by healthtech and transport tech.
Tech Nation said the UK currently has 136 tech ‘futurecorns’, fast-growing tech businesses set to achieve a $1bn plus valuation, in the pipeline.
It comes as Tech Nation revealed the 31 businesses accepted into the seventh iteration of its upscale growth programme.
The six-month government-backed upscale programme was designed to support and scale the most promising mid-stage tech companies in the UK.
Nearly a quarter (seven) of the companies in the programme are in healthtech, a sector experiencing strong growth in mid-stage UK tech companies. UK Series A stage companies in this sector have raised $674m in 2021 so far, a 66 per cent rise from $404m in 2020.
Five of the new upscale cohort are edtech companies, a sector which is rapidly growing in the UK, increasing from $113m in 2020 to $319m in the first half of 2021.
Over a third (11) of the companies in upscale 7.0 come from outside of London, with two firms from Scotland and one from Northern Ireland. Around a third (10) of the latest cohort companies have female founders or co-founders.
Companies accepted into the upscale programme will receive over 60 hours of support at coaching sessions, attend networking events with key stakeholders, peers, corporates and investors, and have access to a range of online resources.
“I’m delighted to welcome all of these ambitious, fast-growing tech scaleups to the Upscale programme this year,” said Liam Ward, upscale programme lead at Tech Nation.
“The impact these companies’ innovative solutions are already having on people’s lives across so many industries is evident from their combined revenue of over £90m, and it’s fantastic to see investors taking note of the potential these tech companies have not only to scale but to transform every corner of society for the better.”
“It’s fantastic to see so many fast-growing scaleups creating wealth and well-paid jobs up and down the country,” said digital secretary Nadine Dorries.
“Through organisations like Tech Nation, this government is helping people across the UK get the skills they need to work in this fascinating industry and supporting businesses with pro-innovation policies so they can continue to grow and thrive.”