Leaders of UK tech businesses predict double-digit growth in the tech industry this year, according to a survey by Barclays, and expect even greater growth for 2016.
Owners of British tech firms said they predict 11% average growth over the course of 2015, which is about four times faster than expected UK GDP growth – forecast at 2.5%. For 2016 businesses predict growth to reach 15%.
When asked about the factors that have contributed to the growth in the UK tech industry last year the majority cited strong leadership, with 93% saying it was the main factor, following by investment in new technology and speed of decision-making.
The UK tech industry outlook is looking bullish.
Sean Duffy, Managing Director and Head of Barclays’ Technology, Media and Telecoms team, said:
“These remarkable growth predictions reveal the optimism and drive of the UK’s world-leading tech sector,” said Sean Duffy, MD and head of Barclays’ technology, media and telecoms team.”
“The fact that many firms are expecting further growth in 2016 shows that this trend isn’t transient and the UK is a real launch pad for innovative tech businesses.”
“Investors are seeing the UK as an international talent magnet and a platform to grow or launch their business for a number of compelling reasons, including the culture, light-touch regulation, supportive government policies and access to finance.”
Strong leadership is critical for growth
Sean Duffy agreed that strong leadership is crucial for growth in the tech industry.
“Strong leadership rang out loud and clear as being critical for growth, and this is particularly important in the first few years of a business’ life. It’s also even more relevant for fast growth businesses, which experience unique stressors and demands on their cash flow, requiring their leaders to make many major decisions at speed in order to keep pace,” he said.