The moments to connect in 2023 may be especially profound compared to previous New Year starts.
From increasingly tightening financing trends to a more volatile market environment, from the decline in corporate valuations to the wave of layoffs sweeping the world, different from the extremely hot 2021, for the past 2022, the “cold winter” may It is the most common state in the field of technology.
As we can see, this stark contrast makes for a year full of uncertainty and confusion. However, as we can see, although this special period is full of challenges, some figures have also shown enough resilience in it, just like what they have shown in 2021, which far exceeded outside expectations. From this point of view, if we think that this ability to continuously adapt and even control external changes is not just an accident, then the invariance reflected by this will be far more important than these phenomena themselves— — and that’s exactly what London’s tech scene has been proclaiming for the past year.
According to a recent data jointly released by the London Development Promotion Agency (London & Partners) and the data research agency Dealroom, during 2022, London will still gain confidence in global investment, and the total financing received by London startups will reach 19.8 billion US dollars , ranking first in Europe and fourth globally. At the same time, the data also pointed out that during this period, the capital raised by London-based venture capital institutions also hit a record high with a scale of $6.6 billion. As a result, London has maintained its status as a European unicorn hub in the face of a more turbulent global tech scene over the past year, propelling the U.K. to become the third-largest place for global tech investment after the U.S. and China. nation.
Ms. Zhao Bingbing, chief representative of Greater China of the London Development and Promotion Agency, said that the reason why London continues to be the focus of the global technology field is that it has all the right elements for international companies to scale up and is able to attract foreign investment. Providers with a development stage with a rich international perspective, “whether it is high-quality growth capital, rich talent resources or even a friendly policy & business environment, you will find that all these favorable factors are gathered in the city of London .”
Among them, taking the policy & business environment level as an example, she introduced to the reporter that, as the official overseas promotion agency of the London City Government, the London Development and Promotion Agency has been helping companies from London at home and abroad to develop better in London , to provide free targeted development advice on all aspects of talent recruitment, office address, company finance, legal advice, etc. that companies need to consider when they set up in London.
“London and the UK are one of the most business-friendly environments in the world, with the lowest corporate tax rates among G20 countries, and will provide them with additional incentives such as the patent box system and R&D tax credits to maximize support Business innovation. We are also now helping these businesses take advantage of the supportive regulatory and tax incentives that the UK offers international companies through tailor-made advice.”
At the same time, she emphasized that in addition to the support of a rich industrial base, in the face of the extremely difficult 2022, London’s strong inclusiveness is also another powerful pillar that makes it a global “safe haven” with unique scenery.
Not only Klarna and Nothing who stopped in London last year, she pointed out that London has long been a global regional center for traditional industries such as fashion, retail, and financial services. Based on this profound accumulation, as the largest technological entrepreneurship center in Europe, it is not difficult to find that at the moment when traditional industries and digital technologies are constantly intertwined, London has a unique development advantage, which has been continuously highlighted in the process. Its natural side.
“Fintech is a good example. London is a world-class financial center and technology center, and these identities also make London a gathering place for the world’s top fintech companies and talents. In fact, in 2022, London’s financial Tech companies have attracted more venture capital funding than places like New York and San Francisco, making it the world’s number one city with $9.7 billion.”
In addition to traditional industries and their related extensions, for those emerging industries that have risen rapidly in recent years, Zhao Bingbing said that London also shows its unique charm.
Specifically, on the one hand, as a manifestation of London’s green goal of “achieving net zero carbon emissions by 2030”, climate technology has become one of the fastest growing fields in London at this stage – data shows that climate technology in London has Investments by companies have grown 17-fold over the past 5 years, and this figure will reach a total of $1.5 billion in 2022.
And not only climate technology, but also in the field of green technology in new energy vehicles and related industrial chains, this momentum has also been reflected.According to the research of ProptechOSshow, London leads Europe and the U.S. urban areas under study with 2,600 EV charging points. Based on its solid infrastructure construction, London is increasingly becoming a battleground for these new domestic forces going overseas amidst the upsurge of electric seagoing represented by BYD.
In the future, with the deepening encouragement and support of the London authorities for green innovation, London’s “2030 Small Goals” are also expected to promote the further rise and development of companies and investors in related industries at the city level in London.
On the other hand, thanks to London’s high concentration of software development talents and creative industry talents, London has also become the first choice for game studios. Many of the world’s most popular video games, films and TV shows are now being created in London studios – especially over the past year as London’s games industry has shown the opposite of the generally depressed global investment trend , gaming companies in the region will attract more venture capital funding in 2022 than in 21. Next, with the continuous development and improvement of metaverse, AR, VR and other technologies, London will more fully demonstrate its ability to control these emerging technologies.
Of course, London’s wonderful script is not limited to this. Regarding the direction it will show in the future, Zhao Bingbing believes that London has also conveyed the same confidence to the outside world. She points to data showing that global tech investors are also likely to be pouring money into London-based companies in 23 years and beyond after VCs have raised more VC capital than ever before – further evidence of these long-term commitments, London will continue to be a location of interest to investors and will be able to weather economic headwinds into 2023. And, as London is a global leader in some high-growth industries, London’s technology sector is also expected to remain resilient and attract more attention from the outside world.
“We predict that in 2023, London will continue to be a major destination for international business. We have seen a lot of companies from China and around the world showing strong interest in London as an option to expand their global footprint. China It is a worldwide hotbed of outstanding innovative companies, and it will continue to be a strong trading and investment partner for London. While challenges may remain one of the key words this year, London’s solid foundations will continue to prove that it will It is the world’s top preferred business destination.”
