According to Tech Nation’s 2018 report, tech is expanding 2.6 times faster than the rest of the UK economy. If we look at the UK Economy as a whole, the digital tech sector contributes £184 billion, that's an increase from £170 billion in 2016.
Eileen Burbidge, partner at Passion Capital & Chair of Tech Nation said that from “fintech to healthtech, self-driving cars and AI, the UK’s digital tech sector is having an impact on every aspect of our daily lives and the economy. Tech Nation’s survey of the industry shows that confidence and optimism is high, but it is important for us to keep supporting this sector and give British companies the best chance they can to grow and scale."
Tech Nation Visa
Keeping tech progressive in the UK is what it's all about. The Tech Nation Visa enables the brightest and best tech talent from around the world to come and work in the UK’s digital technology sector. New talents are contributing their cutting-edge expertise, creativity and innovation to maintaining the UK’s position at the forefront of the global digital economy.
Akoni is proud to be named as one of Tech Nations top 20 fintech companies to watch out for 2018.
Roadblocks for Tech firms Growth
Despite the significant growth in the number of tech firms, that growth does not come easy. Today, tech businesses face many challenges including uncertainty created by Brexit, competition from large chains and the necessity to keep up with the ever-changing innovative landscape, expansion and development considerations, such as funding, and tackling the productivity problem.
Given the many challenges tech companies face, they need an easier way to manage cash holdings whilst maximising their return. Having extra interest income can in turn give them extra funds for investment in key projects. Managing your cash holdings and maximising your return could help you sharpen your competitive edge whilst having extra cash to invest in projects in line with a firm's goals.
Tech sector in post-Brexit UK
In an environment where the hopes for a soft Brexit are close to zero, the implications of a hard Brexit on UK technology businesses raises a lot of question marks. So far, the impact of the decision has been both negative and positive depending on whether you have an export or import perspective. Resulting from the devalued sterling, exporters enjoyed improved returns and UK attracted more tourists since it became a cheaper destination. However, importers are highly likely to see a negative impact on their bottom lines, if they haven’t seen this already. As deemed highly important for the UK economy’s well-being before Brexit, SMEs are also crucial post-Brexit.
There is no doubt that the coming few years will be interesting to watch. However, with difficulty comes opportunity.