Not supporting UK tech today means not developing talent for tomorrow
So it’s been argued the UK is leaving many of our most promising startups and scaleups to fend for themselves. And I’d agree.
But the need to strengthen and support our tech talent must be part of the rationale for supporting early stage businesses.
We’re jeopardising a tech startup and scaleup community that has made great strides in recent years, and one that could be key to recovery.
As I see it:
Tech is ever pervasive as an industry classification — lead in tech and your economy leads.
SMEs are the growth engine of the UK economy — I can see this from my personal experience on the Goldman Sachs 10ksb programme, and comprehensive data from The ScaleUp Institute.
These scaleups create jobs faster than anyone — something we will need more than ever.
Arguing against a bailout fund for early stage startups, Robin Klein says here as “three quarters of startups that raise a seed round never reach a Series A” it’s not a worthwhile area to direct money.
I think this massively overlooks the positive impact of developing tech talent in the UK.
These startups create jobs, tech communities, leadership capabilities, innovation and IP. All valuable to the UK economy, even if not making that failed startup a success itself.
The jobs those startups create are often the first step for someone entering tech, whether it’s their first job or a career change. We need more talent in tech, so let’s not close off one of the best routes in developing that talent.
We’ve helped many successful tech scaleups grow, and both those leading and joining these businesses will often have developed at “failed” startups, meaning they help everyone progress better next time.
And the lack of financial support will harm many of the areas the UK has seen recent progress. A point that Dom Hallas from Coadec makes really well here -as funding dries up it will “disproportionately impact tech outside London, university spinouts, & R&D heavy startups in top accelerators.”
Personally living in Bristol, I’d hate to see the tech community, where Techspark do such brilliant work, or the world’s no. 1 business incubator, SETsquared, miss out on some of the support that I think has been a real positive in other areas of the economy
Tech startups and scaleups shouldn’t be treated more favourably than other companies, but they shouldn’t suffer more. France and Germany are supporting their tech community with specific tactics and it feels the UK needs to have a strategy.
If this resonates with you then join me and over 5,500 signatories to highlight to the UK government the need to support our startup and scaleups.
And play your part in creating jobs to help the UK lead in tech talent.
