In 2022, the era of cheap capital was brought to a halt by soaring inflation and rising interest rates. It has created a very different environment for tech startups compared to the dizzying heights of 2021. But what does 2023 have in store for the UK’s tech sector? To find out, UKTN spoke to those controlling the flow of money into tech startups – the VCs.
From the sectors that will struggle to the impact of layoffs, here’s how 12 VCs predict 2023 playing out for the UK tech industry.
UK fintech will remain strong
“The UK’s fintech ecosystem will retain its position as one of the global leaders for creating and growing exciting startups which are driving innovation. For 2023, the sector will evolve to reflect changing consumer and business demand. The most successful fintech startups next year will be directly solving the most pressing problems of customers through reducing the cost-of-living crisis and driving further disruption in areas such as debt repayment, mortgage lending and tax services.”...