Investments in Britain's IT sector broke a record

Venture capital investment into Britain’s technology sector has reached a record high, according to London & Partners, the Mayor of London’s inward investment company

It says that London-based companies managed to secure around 75 per cent of the $2.2bn (£1.43bn) raised by UK firms since the beginning of this year.

Last year, UK tech companies managed to raise a total of $2.1 billion (£1.37bn) in investments. Unsurprisingly, London dominated, with its tech companies securing $1.6 billion (£1.04bn), eclipsing the $1.3 billion (£850m) raised last year.

Mayor of London Boris Johnson MP said: “As a global financial and technology powerhouse, it is no surprise to see that the capital is the jewel in the crown when it comes to venture capital investment in the UK tech sector. With record investment helping companies to flourish, access to top tech talent, world class universities and great transport links, there has arguably never been a better time to start, grow and scale a digital business in London.”

In the last three months UK firms have secured $775 million (£504m) VC funding while in London tech companies have attracted $491 million (£319m). London’s e-commerce start-ups have been particularly successful in securing funding over the last three months, according to London & Partners. Ecommerce firms such as Deliveroo, MADE.com, Secret Escapes and Prodigy Finance raised a combined amount of $246m (£160m) 50 per cent of the total amount raised in London this quarter.

According to the recently launched IBM Global Location report, London brought in more foreign investment and created more jobs than any other city in Europe.