Edinburgh, Manchester, and Bristol have emerged as the UK’s top regional hubs for high-growth tech businesses, according to the latest Tech in the UK 2024 report from Barclays Eagle Labs. The report highlights the rapid rise of scale-ups, spinouts, and other fast-growing tech firms across the UK, underscoring the significant economic impact of thriving regional tech ecosystems beyond London.
The report shows that regions with more than 100 high-growth companies generated an average Gross Value Added (GVA) of £294,000 per business—over ten times higher than areas with fewer than 100 such firms, which recorded only £27,500. Manchester, in particular, stood out with a massive £30 billion contribution to the local economy in 2022 alone.
Edinburgh, which is home to more than 450 high-growth tech firms, is another standout in the regional tech scene. The city’s success is largely attributed to the efforts of Scottish Enterprise, which has played a key role in commercializing university research and supporting academic spinouts. Between 2020 and 2024, Edinburgh saw 198 deals signed, reinforcing its position as a key innovation hub.
Bristol, often referred to as the heart of the UK’s “Silicon Gorge,” also saw impressive growth in its tech sector. The city’s deeptech cluster, which benefits from strong ties between universities and research hubs like the Brunel Centre, continues to thrive. Investment in the area rose by 10% to £167 million in the past year, while the broader “Silicon Gorge” corridor now spans Bristol, Gloucester, and Swindon, positioning it as a key tech powerhouse.
Cambridge and Leeds also showcase the diverse growth models emerging across the UK. Both cities are home to around 280 high-growth companies, but their economic impacts differ significantly. Cambridge’s high-tech firms contributed £8 in economic value for every £1 generated, whereas Leeds’ broader industry mix resulted in a more moderate fourfold impact. Despite Cambridge attracting over £500 million in investment last year, the entire Yorkshire and Humber region, including Leeds, received only £179 million, indicating a need for more targeted investment in northern innovation hubs.
Despite these successes, access to finance remains a major challenge for high-growth businesses. While 68% of business leaders are aware of relevant funding options, navigating the financial landscape remains complex.
Hannah Bernard, Head of Business Banking at Barclays, emphasized the economic potential of regional tech businesses, saying, “Investing in and growing tech businesses has massive economic potential for the UK. But access to finance is about more than capital — it’s about providing the right tools, networks, and guidance.”
Barclays Eagle Labs, one of the UK’s largest tech entrepreneurial networks, has supported over 17,000 businesses through mentoring, funding access, and ecosystem support. Technology Minister Baroness Jones also praised the findings, noting the importance of regional tech hubs in driving innovation, job creation, and long-term economic benefits across the UK.
With tech businesses outside London continuing to drive productivity and job creation, the report underscores the growing role of regional tech ecosystems in shaping the UK’s economic future.
