Equity funding for UK companies surged by 41.3% quarter on quarter in the first half of 2023, indicating signs of a small bounceback after investment levels plummeted from a record high in 2021.
Despite the glimmer of recovery in Q2, funding levels remain significantly down compared to the first half of 2022 as soaring inflation and rising interest rates tempered investor activity.
Data from Beauhurst, a research firm, revealed that investors deployed £5.94bn over the first six months of the year, a 15% drop from the second half of last year and a staggering 77.8% fall compared to the first half of 2021.
Despite the muted funding activity seen this year, the data found signs of recovery over the last three months, with funding for UK companies rising from £2.38bn in the first three months to £3.62bn in the second quarter....