Innovation
UK Innovation 2025 Review
- Innovation
- Report
- 3 minutes read
This report, produced in partnership with Dealroom, explores the key trends and movements across the UK innovation ecosystem last year, including VC fundraising, top sectors, exits, and university spinouts.
- VC investment grew 35% in 2025. UK startups raised $23.6B in 2025 (compared to $17.5B in 2024) marking the first increase in VC investment in four years and third highest ever.
- The UK has passed 200 unicorns in 2025, six years after passing 100. 16 new unicorns were added in 2025; but the UK also has produced 239 Thoroughbreds - startups generating $100M+ in annual revenue.
- UK AI startups raised $7.9B in 2025, up 80% on 2024. $2.7B was raised in Q4 2025 alone, the UKʼs highest single quarter on record for AI investment.
- The combined value of the UKʼs innovation ecosystem has grown 7x in the past decade. Value is up $100B from $1.2T in 2024.
A surge in venture capital investment: 2025 analysed
Per our latest report, produced in partnership with Dealroom.co, UK tech is now worth a combined $1.3T. That’s a 7x increase in the last decade, and up $100B from $1.2T in 2024.
But what’s driving this growth?
36 megarounds of $100M+, the most since the 2021-2022 peak, record investment into AI startups, and the ability to create valuable start-ups are just a few contributing.
Explore the full report to find out more.
Simon Bumfrey, Head of Banking, HSBC Innovation Banking UK"2025 demonstrated the underlying strength of the UK’s innovation landscape, as VC investment surged to its strongest level in four years and the third highest on record. This signals not only a renewed wave of investor confidence, but also highlights the impactful contribution of tech and life sciences to the wider UK economy. Growth was evident across all stages of funding, with strong late-stage activity complemented by sustained momentum at the breakout and early stages. This showcases the depth of high-quality companies being built and scaled across the ecosystem, with the UK also continuing to lead in spinout value creation in Europe."
Any opinions expressed are merely opinions and not facts. All information in this document is for general informational purposes and not to be construed as professional advice or to create a professional relationship and the information is not intended as a substitute for professional advice. Nothing in this document takes into account your company’s individual circumstances. HSBC Innovation Banking does not make any representations or warranties with respect to the accuracy, applicability, fitness or completeness of this document and the material may not reflect the most current legal or regulatory developments. HSBC Innovation Banking disclaims all liability in respect to actions taken or not taken based on any or all of the contents in this document to the fullest extent permitted by law. Nothing relating to this material should be construed as a solicitation or offer, or recommendation, to acquire or dispose of any investment or to engage in any other transaction.
