Edinburgh, Manchester and Bristol have emerged as the UK’s leading regional powerhouses for high-growth tech businesses, according to the latest Tech in the UK 2024 report from Barclays Eagle Labs.
The report provides an in-depth look at the regional spread of scale-ups, spinouts, and other fast-growing tech firms across the UK, measuring their economic contribution using Gross Value Added (GVA). The findings underline how vibrant local entrepreneurial ecosystems are driving growth outside the capital.
Regions with more than 100 high-growth companies delivered an average GVA of £294,000 per business — more than ten times that of areas with fewer than 100 such firms, which recorded just £27,500. Among the standout regions, Manchester led with a staggering £30 billion contribution to the local economy in 2022 alone.
Edinburgh, a thriving hub for innovation
Scotland’s capital is now home to over 450 high-growth tech businesses. According to Barclays, the city’s success is partly driven by the efforts of Scottish Enterprise in helping commercialise university research and support academic carve-outs. Between 2020 and 2024, 198 deals were signed in the region, reflecting the strength of Edinburgh’s innovation infrastructure.
Bristol and the rise of ‘Silicon Gorge’
Bristol’s deeptech cluster continues to thrive, bolstered by close collaboration between universities and research hubs such as the Brunel Centre — a joint data initiative from the University of Bath and UWE. Investment in the area rose 10% to £167 million last year, with the broader “Silicon Gorge” corridor now encompassing Bristol, Gloucester and Swindon.
Cambridge and Leeds showcase different growth models
Although Cambridge and Leeds both host around 280 high-growth companies, the impact per pound spent varies significantly. In Cambridge, every £1 generated £8 in economic value, while in Leeds, the broader industry mix meant businesses contributed four times the impact. Despite Cambridge attracting over £500 million in investment last year, the entire Yorkshire and Humber region — including Leeds — received £179 million, highlighting the need for more targeted investment in northern innovation hubs.
Despite their potential, high-growth businesses continue to cite access to finance as a major barrier. Although 68% of surveyed business leaders say they are aware of relevant funding options, navigating the financial landscape remains complex.
Hannah Bernard, Head of Business Banking at Barclays, said: “Our Tech in the UK report drives home the importance of high-growth tech companies to the regions and communities in which they’re based. Investing in and growing tech businesses has massive economic potential for the UK. But access to finance is about more than capital — it’s about providing the right tools, networks and guidance. That’s why Barclays has committed £22 billion through our Business Prosperity Fund to help support growth at every stage.”
Barclays Eagle Labs, one of the UK’s largest tech entrepreneurial networks, has now supported over 17,000 businesses through mentoring, funding access, and ecosystem support.
Technology Minister Baroness Jones praised the findings, saying: “A thriving technology sector is key to delivering our mission of secure and sustainable growth. Regional tech hubs are at the heart of this progress — fuelling innovation, creating jobs, and delivering lasting economic benefits to communities across the UK. As this research shows, our world-class universities and pioneering entrepreneurs are driving this progress, and we are committed to supporting their success.”
With high-growth businesses continuing to drive productivity, innovation and job creation outside London, the report reinforces the growing importance of regional tech ecosystems in shaping the UK’s economic future.
