News: Value of South Yorkshire’s tech sector soars to £3bn
The value of tech companies to South Yorkshire’s economy has increased eightfold since 2014.
The value of South Yorkshire’s tech sector has grown by more than 700% in the last decade, according to a new report from data provider Dealroom, published in partnership with TECH SY, a project to scale up the South Yorkshire tech and digital economy.
Data from Companies House, the register of British companies, indicates there are now around 5,000 active tech companies in South Yorkshire. It is estimated that they employ almost 20,000 people.
The combined value of South Yorkshire’s tech startups was £3bn in 2024. This is eight times higher than in 2014, when South Yorkshire’s tech economy was worth just £370m. The value of pre-exit startups in South Yorkshire, which have not yet been acquired or floated on the stock market, was £737m in 2024. This is nine times more than in 2014 (£83m).
The report also looks at venture capital with tech startups in South Yorkshire raising over £200m in funding since since 2020. More than half of this (55%) went to deep tech startups pioneering entirely new products based on engineering innovations and scientific advances.
Findings also indicate that, despite progress, South Yorkshire’s startups appear underfunded compared to those in comparable ecosystems such as Eindhoven and Ghent, which have a similar mix of specialisms and comparable populations. South Yorkshire startups also receive a lower proportion of funding (24%) from foreign investors compared to the UK as a whole (55%).
Xeros, Metalysis, Suiso, Iceotope and IntelliAM are picked out as examples of promising tech startups that are based in Rotherham.
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Oliver Coppard, Mayor of South Yorkshire, said: “Here in South Yorkshire, we are pioneers. We led the world into the first industrial revolution, and we'll do the same with the tech revolution. We have the world-leading businesses, the agile tech startups and the people to create good growth for our communities. This report highlights how our heritage is shaping our future. The work of TECH SY and others will help us work with our northern partners to drive innovation and build a bigger and better economy in South Yorkshire.”
Tracey Johnson, Project Director for TECH SY, added: “South Yorkshire is evolving from its industrial roots to a dynamic hub of tech and digital innovation. Our established industry strengths, skilled workforce, research facilities, place in the UK’s Northern Triangle and proximity to Europe’s largest tech hubs are driving sustained growth in the value of the home-grown startup base and attracting innovators and investors to the region. South Yorkshire is one of the most welcoming and collaborative places on the planet for startups, and we are working hard to make it the best possible entry point into the global tech economy.”
Orla Browne, Head of Insights at Dealroom.co, said: “South Yorkshire is fast emerging as a key player in the North’s thriving tech ecosystem. With a strong foundation in deep tech and physical tech, and an increasing number of venture-backed startups, the region is proving its ability to scale and attract investment. The £3bn ecosystem value and significant growth in VC-backed companies highlight the momentum building here. While challenges remain in scaling and securing investment, the region’s collaborative approach, world-class research institutions, and growing investor interest position it for long-term success. The insights from this report showcase a dynamic and ambitious tech landscape that is only set to grow.”
TECH SY website
Images: TECH SY
The value of South Yorkshire’s tech sector has grown by more than 700% in the last decade, according to a new report from data provider Dealroom, published in partnership with TECH SY, a project to scale up the South Yorkshire tech and digital economy.
Data from Companies House, the register of British companies, indicates there are now around 5,000 active tech companies in South Yorkshire. It is estimated that they employ almost 20,000 people.
The combined value of South Yorkshire’s tech startups was £3bn in 2024. This is eight times higher than in 2014, when South Yorkshire’s tech economy was worth just £370m. The value of pre-exit startups in South Yorkshire, which have not yet been acquired or floated on the stock market, was £737m in 2024. This is nine times more than in 2014 (£83m).
The report also looks at venture capital with tech startups in South Yorkshire raising over £200m in funding since since 2020. More than half of this (55%) went to deep tech startups pioneering entirely new products based on engineering innovations and scientific advances.
Findings also indicate that, despite progress, South Yorkshire’s startups appear underfunded compared to those in comparable ecosystems such as Eindhoven and Ghent, which have a similar mix of specialisms and comparable populations. South Yorkshire startups also receive a lower proportion of funding (24%) from foreign investors compared to the UK as a whole (55%).
Xeros, Metalysis, Suiso, Iceotope and IntelliAM are picked out as examples of promising tech startups that are based in Rotherham.
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Oliver Coppard, Mayor of South Yorkshire, said: “Here in South Yorkshire, we are pioneers. We led the world into the first industrial revolution, and we'll do the same with the tech revolution. We have the world-leading businesses, the agile tech startups and the people to create good growth for our communities. This report highlights how our heritage is shaping our future. The work of TECH SY and others will help us work with our northern partners to drive innovation and build a bigger and better economy in South Yorkshire.”
Tracey Johnson, Project Director for TECH SY, added: “South Yorkshire is evolving from its industrial roots to a dynamic hub of tech and digital innovation. Our established industry strengths, skilled workforce, research facilities, place in the UK’s Northern Triangle and proximity to Europe’s largest tech hubs are driving sustained growth in the value of the home-grown startup base and attracting innovators and investors to the region. South Yorkshire is one of the most welcoming and collaborative places on the planet for startups, and we are working hard to make it the best possible entry point into the global tech economy.”
Orla Browne, Head of Insights at Dealroom.co, said: “South Yorkshire is fast emerging as a key player in the North’s thriving tech ecosystem. With a strong foundation in deep tech and physical tech, and an increasing number of venture-backed startups, the region is proving its ability to scale and attract investment. The £3bn ecosystem value and significant growth in VC-backed companies highlight the momentum building here. While challenges remain in scaling and securing investment, the region’s collaborative approach, world-class research institutions, and growing investor interest position it for long-term success. The insights from this report showcase a dynamic and ambitious tech landscape that is only set to grow.”
TECH SY website
Images: TECH SY
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