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Yorkshire Times
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3:00 AM 5th May 2022
business

Yorkshire Tech Incorporations Jump By Over A Third In 2021

Image: Pixabay
Image: Pixabay
The number of new tech companies incorporated in Yorkshire and the Humber jumped 34 per cent in 2021, according to new analysis by leading audit, tax and consulting firm RSM UK.

A total of 1,135 tech businesses were incorporated in the region in 2021 according to an analysis of data held by Companies House, up from 849 in 2020.

Chris Etherington
Chris Etherington
Chris Etherington, tax partner and head of media and technology for RSM UK in Yorkshire, comments on the findings:
"Our analysis shows that the number of tech incorporations in the region has grown by 34 per cent, and it is clear to see that the tech sector has thrived in conditions where other industries have either slowed or declined during the pandemic.

"Covid-19 has encouraged more businesses to embrace technology, both to operate successfully during periods of disruption and to adapt to shifting consumer demands. As the sector rolls out 5G and experiments with new ideas such as the metaverse and crypto, the region is in a favourable position to develop its growing tech infrastructure through events such as Leeds Digital Festival and also by welcoming new businesses to Yorkshire and the Humber."


Overall, UK tech incorporations increased 62 per cent in 2021, from 23,579 to 38,240.

In addition, the UK tech sector this year became only the third economy, alongside the US and China, to reach $1 trillion in value after a surge in growth throughout the pandemic. The UK’s digital industry is now worth more than double Germany’s equivalent, its closest European rival. RSM’s latest analysis further evidences the UK’s key role in supporting entrepreneurs and encouraging innovation.

Tech company incorporations by year
Region 2020 2021 % increase
East Midlands (England) 794 975 23%
East of England 1,722 2,190 27%
London 9,572 18,549 94%
North East (England) 295 469 59%
North West (England) 1,658 2,371 43%
Northern Ireland 227 326 44%
Scotland 772 1,055 37%
South East (England) 3,056 4,115 35%
South West (England) 1,156 1,445 25%
Wales 384 481 25%
West Midlands (England) 1,119 1,799 61%
Yorkshire and The Humber 849 1,135 34%
Unknown 1,975 3,330 69%
UK Total 23,579 38,240 62%