The recent exits of high profile tech firms from the London Stock Exchange should serve as a wake up call. Once viewed as a champion of UK fintech, Wise has moved its primary listing to the US. Alphawave, a key player in the UK’s semiconductor scene, is being acquired by Qualcomm. These events aren’t isolated, they highlight a broader trend: the UK is at risk of losing its place as a global home for innovation.
We have no shortage of talent, ambition, or entrepreneurial energy. But when it comes to supporting companies through the scale up phase and into public markets, the UK still falls short, especially when compared to the US.
London remains strong in established sectors like finance and energy. But tech plays by different rules. It moves faster, involves more risk, and demands greater access to capital. Our current financial infrastructure simply isn’t set up to meet these needs at scale.
A tougher climate for tech growth
For many UK tech founders, growth hits a ceiling. While early stage investment is available, capital markets often lack the appetite for long term, high growth ventures. In 2024, UK startups raised $16.2 billion, down from $19 billion the previous year and a far cry from the $65 billion raised by their US peers. That’s not just a gap in funding; it’s a gap in opportunity.
In the US, tech entrepreneurs benefit from a robust network of institutional investors, growth capital, and analyst coverage that supports their ambitions. By contrast, UK markets tend to be more cautious. The risk tolerance needed to build global tech champions often isn’t there.
Rethinking the UK’s financial framework
This challenge isn’t only about policy, it’s systemic. To build and retain global technology leaders, the UK needs a stronger, more dynamic financial ecosystem. Banks, pension funds, and institutional investors all need to play a more active role. Right now, many are sitting on the sidelines.
Some promising ideas have emerged, loosening listing requirements, unlocking pension capital for higher growth investments, and expanding access for retail investors. But implementation has lagged. Meanwhile, the US continues to offer tech firms better valuations, better analyst attention, and deeper capital pools.
The consequences go beyond stock listings. When firms like Wise and Alphawave leave, it sends signals throughout the ecosystem, affecting research, hiring, innovation, and investor confidence. If the UK can’t offer founders a credible pathway to scale, we’ll continue to lose our most promising companies to markets that can.
Building a destination, not a departure lounge
The UK has a strong track record in tech. Success stories like DeepMind, acquired by Google for around $500 million, prove that world class innovation can start here. But history isn’t enough. To compete globally, we must create an environment where startups can not only launch but also grow, thrive, and remain.
That means more competitive public markets, smart and forward thinking regulation, and an investment culture that recognises the value of long term bets on innovation.
This is a critical moment for UK tech. If we want to be more than just a stopover on the road to Silicon Valley, we need to act decisively, and soon.
Lee Edwards is VP, EMEA at Amplitude