Beyond London: Regional cities drive explosive growth in UK’s tech industry

Last year alone, 144,596 tech companies were launched across the country—a 52% increase on the previous year—cementing the UK’s position as one of only three nations with a tech sector valued at over $1 trillion.

The Instant Offices analysis highlights not only London’s dominance but also the remarkable rise of cities like Poole, Manchester, and Belfast, as well as the growing influence of young entrepreneurs in shaping the industry’s future. 

The Top 5 UK Tech Hotspots: Regional Hubs Propel UK Tech to Record Highs 

London continues to lead the UK’s tech scene, with 51,943 new tech businesses launched in 2024 - a 58% year-on-year increase. The capital’s thriving ecosystem, access to investment, and skilled workforce make it a magnet for entrepreneurs and a hub for a third of all Europe’s unicorns. 

For a full view of the Top 20 UK Tech Hotspots, click  here. 

However, despite London’s continued dominance, several regional cities are emerging as key tech hotspots driving the UK’s innovation economy. Manchester is a notable front runner beyond the capital, with 3,235 new tech businesses registered and strong YoY growth at 54%. The Northern powerhouse is home to several unicorns and entrepreneurship is supported by purpose-built innovation districts like Bruntwood SciTech and Enterprise City’s live-work-play ecosystem. 

Poole’s Tech Sector Surges 89% 

A surprise contender for the UK’s fastest growing tech hotspot has emerged: Poole. Despite a population of just 49,300, Poole’s tech sector expanded by 89% last year —adding 867 new tech companies and nearly matching Bristol’s total, despite Bristol having almost ten times the population. This remarkable growth highlights the potential for innovation outside traditional urban centres. 

Young Entrepreneurs Drive Change 

A new generation is reshaping the UK tech landscape: 40% of new tech companies in 2024 were founded by entrepreneurs under 30. According to SimplyBusiness’ Generation Entrepreneur Report, 58% of people aged 18–35 in the UK own or aspire to own a business, with financial gain and personal passion cited as key motivators. This drive amongst the younger generation is fast fueling innovation and growth across the sector. 

Women in the tech industry 

When it comes to gender, the data is less positive. Despite the tech sector having some of the most funded new startups, women are massively underrepresented in the sector. According to Instant Offices data, female entrepreneurs represent just a fraction of 2024 tech founders. 

London has the greatest number of female tech founders, with 4,601, while Glasgow has the highest YoY proportion of female founders, at 11%.