Brexit no threat to VCs with an appetite for UK startups

12 Oct 2018

The UK still leads the way as Europe's premier investment destination for Venture Capital (VC).

According to research, in Q3 (July-September 2018) VCs invested £1.4 billion into UK startups across 200 deals, up £9 million on £1.31 billion raised in the same quarter last year. 

Of the top ten deals closed in Q3, two were UK based. This includes Orchard Therapeutics, a London based biotech business which will use its £111 million series C fundraise to develop clinical programmes aimed at treating rare inherited metabolic and immune system diseases. Also, Cambridge based drug developer Artios, which will use the £65 million series B fundraise to get its cancer treatment drug Pol-theta to the cusp of a Phase II trial.

Commenting on the findings, a spokesperson for the report says: “In what is considered a traditionally slow period for investment and with the added uncertainty created by Brexit, the UK has continued to attract VC investors to its thriving startup and scaleup sector.  It is reassuring to see that concerns about Brexit have had little impact on the appetite for good quality UK enterprises, with the amount of VC investment up on the same quarter a year ago.

“The UK enjoys significant advantages even in the shadow of Brexit, with great access to talent, its status as a global financial centre, world leading universities and concentration of traditional private investment managers. Although Brexit poses a big question mark for investors, many enterprises have already acted to mitigate the potential risks with several fintech companies having pursued banking licenses in order to be able to continue to operate in and across different jurisdictions.”

At Beavis Morgan, our dedicated Entrepreneur Support Team advises across a range of sectors, assisting with starting up, fundraising and investment, and advising on business growth and development, whilst all the time helping to navigate the maze of often complex tax issues.
 
We also offer specialist services to identify business opportunities for overseas investors looking to enter the UK market – and we provide a comprehensive range of professional services to help you make the most of your investment in the UK.
 
Contact Steve Govey for advice on how we can assist you and your business, and Paul Ashton for further information about how we can help you secure the right investment opportunity in the UK.