Opinion: Scaling UK tech is a geopolitical imperative

The scaleup sector makes an outsized contribution to the economy, accounting for just 1% of UK SMEs, but generating 22% of SME turnover. The AI sector alone has grown substantially, with its Gross Value Added increasing from £1bn in 2022 to £1.2bn in 2023, and estimates suggesting UK AI firms generated over £14bn in revenues. This “valley of death” in funding is a well-documented issue, with an estimated £15bn shortfall in domestic scaleup investment annually. The UK’s own pension reform agenda represents a similar opportunity to mobilise greater private sector investment. By doing so, the UK can solidify its leadership in the global tech landscape while reinforcing its economic and geopolitical standing.