South Yorkshire’s tech sector has grown significantly, with its combined startup value reaching £3 billion in 2024—an eightfold increase from £370 million in 2014, according to a new report by Dealroom.
The report, launched at the South Yorkshire Tech Summit in partnership with TECH SY, highlights that pre-exit startups in the region—those not yet acquired or publicly listed—were valued at £737 million in 2024, a ninefold increase from £83 million in 2014.
Since 2020, South Yorkshire’s tech startups have secured over £200 million in venture capital funding, with 55% allocated to deep tech companies and 32% to businesses tackling climate challenges. About half of the region’s VC-funded startups develop physical tech solutions, integrating hardware like robotics and sensors with software for applications in manufacturing, logistics, and agriculture. One in six focuses on energy and healthcare.
Despite this progress, South Yorkshire startups receive less foreign investment (24%) than the UK average (55%) and lag behind similar ecosystems like Eindhoven and Ghent in overall funding.
The University of Sheffield has been a key contributor to the region’s startup scene, producing over 50 spinout companies and nearly 700 startup founders since 1990. Data from Companies House estimates South Yorkshire is home to approximately 5,000 active tech companies, employing almost 20,000 people.
