Tech startups in Yorkshire rise by 9% in 2018
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27th February 2019

Tech startups in Yorkshire rise by 9% in 2018

Yorkshire and the Humber saw a 9% rise in the number of new technology companies being set up in 2018, according to new analysis by RSM.

Yorkshire and the Humber saw a 9% rise in the number of new technology companies being set up in 2018, according to new analysis by RSM.

Overall, there were 462 software development and programming businesses incorporated in the region last year, according to data held by Companies House.

 

The data revealed growth in tech company incorporations across every region in the UK with the exception of Scotland, where the number of tech startups dipped slightly by 4%, and in the North East where the numbers remained flat.

Chris Etherington, RSM’s head of technology, media and telecoms in Yorkshire and the Humber, said: “Given the current economic uncertainty, it’s fantastic to see that Yorkshire tech start-ups have continued their upward trajectory. This year’s figures highlight another increase in tech businesses starting up, showing that entrepreneurs are continuing to innovate and choose the Yorkshire and Humber region as the home to grow their business.

“A key barrier to the success of these start-ups locally continues to be finding seed capital funding and mentors to help them scale up but there is a real appetite in the local tech community to make that easier than it has been in the past; and we are seeing increased interest from venture capital, private equity and funders to commit funds to the right projects.”

He added: “A combination of a thriving tech ecosystem and increased understanding of tax incentives such as the Enterprise Investment Scheme, R&D tax credits, video games tax relief and the Patent Box regime are all playing their part in helping to fuel this growth.

“The challenge for startups, particularly in the tech space is to develop at speed and to scale-up fast. There can be a high rate of failures as projects can often get overtaken by new technological innovations or better resourced competitors. But get the formula right, find the right backers and success can be very lucrative.”

For the full story please see the BusinessDesk.com website.