A recent survey points to a significant shift in the tech landscape, with the North West of England gaining prominence over London as a more advantageous base for start-ups.
Industry leaders are increasingly recognising the strategic benefits of setting up in the North West, as nearly 60% report the region’s favourable conditions for business growth in recent years.
Rising Tech Hub in the North West
The North West of England is rapidly establishing itself as a formidable player in the digital technology landscape, challenging London’s long-held dominance. A recent survey conducted by Deloitte’s TMT Leaders Panel illuminated this shift, with 58% of industry leaders acknowledging the strategic advantages offered by the North West. Meanwhile, 17% expressed that London fails to provide any additional benefits over this burgeoning region.
Claire Jolly, who heads the TMT at Deloitte in the North West, highlighted the profound transformation over the past decade. She stated, ‘Over the last decade technology, media and telecommunications in the North West have gone from strength to strength.’ MediaCityUK stands as a testament to this growth, serving as a northern media hub where tech giants coexist with innovators and disruptors.
Prominent Success Stories
The North West’s tech landscape is adorned with billion-dollar success stories. Companies such as boohoo, AO.com, and The Hut Group have emerged from this region, showcasing its vibrant potential. Manchester, in particular, is a thriving hub, boasting the highest number of digital tech workers outside London.
Significant funding rounds have underscored this momentum. Healthtech firms eLucid mHealth and Push Doctor, as well as fintech enterprises like Shieldpay, are among those reaping the benefits of the North West’s fertile start-up ecosystem.
Innovation and Expansion
UKFast, known for facilitating growth for small start-ups, epitomises the innovative spirit prevalent in the North West. As a cloud-hosting business, it has played a pivotal role in nurturing nascent enterprises.
Manchester’s innovative landscape is further exemplified by companies such as retailer PrettyLittleThing, virtual reality pioneer Immotion Group, and cloud-based payments specialist AccessPay. These firms highlight the diverse range of technological advancements flourishing in the region.
Airtime Rewards, having joined Tech Nation’s inaugural fintech programme, further illustrates the North West’s appeal. Its successful £1 million raise in May serves as a testament to the confidence investors have in this dynamic ecosystem.
A Region Poised for Growth
The narrative that tech companies can only thrive in London is increasingly being challenged. Figures like Adam Ward underscore the importance of investing in and championing northern businesses. He asserts the necessity to dispel myths surrounding the need for Northern graduates to relocate to London for tech careers.
The Tech Nation tour, unfolding at No 1 Spinningfields, embodies this momentum, bringing together entrepreneurs and experts to discuss the opportunities within the North West. Gerard Grech, Tech Nation’s CEO, plays a crucial role in reinforcing this narrative, announcing their new home at the Bonded Warehouse in Manchester, solidifying its place within the start-up ecosystem.
Collaborative Culture in Manchester
Manchester’s collaborative environment is a cornerstone of its success. Gail Jones, joint MD of UKFast, praises how community, business, and government coalesce to fuel innovation. She remarks on the city’s historical capacity for transformation, leading from the industrial revolution into today’s digital age.
The cooperative spirit is evident in the accelerated growth witnessed in Greater Manchester’s digital sector over recent years, propelled by strategic planning and investments.
Strategic Investments and Developments
Recent developments amplify Manchester’s appeal as a tech mecca. The decision by the government agency GCHQ, Moneysupermarket.com, and even car maker Jaguar Land Rover to set up or expand their operations here underscores a collective belief in the region’s future potential.
This trend of investment continues with the likes of Amazon and booking.com planning substantial expansions, further cementing Manchester’s status as a burgeoning tech capital.
The Hut Group setting its sights on investing over £750 million in the area over the next three years is indicative of the bold ambitions held by companies in the region, eager to ride the wave of Manchester’s tech boom.
Conclusion
The North West stands as a beacon of innovation and opportunity, presenting a compelling case for tech start-ups looking beyond London. As companies continue to thrive, the emphasis remains on nurturing the region’s talent and dismantling outdated perceptions.
The burgeoning tech scene in the North West not only challenges London’s supremacy but also sets a new precedent for regional development, fostering innovation and collaboration.
As investment and talent converge in this dynamic hub, the North West is poised to redefine the future of tech start-ups in the UK.
