UK technology sector outperforms rest of private sector over past decade - PC Retail

UK technology sector outperforms rest of private sector over past decade

Tech companies also more optimistic about the future
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The UK technology sector has consistently outpaced the rest of the private sector in job hires over the last ten years, a report has revealed.

The report, conducted jointly by KPMG and Markit, shows that the UK tech sector has outperformed the rest of the private sector in employment growth for the past decade.

“UK tech sector job and output growth have been especially strong since the end of the recession, with larger tech companies reporting steeper employment growth than smaller tech firms,” the report explains.

The report also states that UK tech companies are more optimistic about the future, showing more confidence in their business outlook than firms in other industry sectors.

“Our new report Tech Monitor UK, the first of an ongoing series, reveals a number of key findings,” commented Tudor Aw, head of technology at KPMG.

“Importantly, it shows that the UK tech sector has generated solid rates of job creation over the last four years and that it has consistently outpaced other UK private sectors in creating jobs since the global financial crisis in 2008/09.”

“In terms of business outlook and confidence, we can take heart that tech companies in the UK are bullish about the next 12 months. Optimism is at one of the highest levels since data was first recorded in late 2009 and also continues the trend that tech companies are consistently more upbeat regarding hiring intentions than other UK sectors.”

The location of successful tech clusters was also researched by the collaboration. All of the ten authorities with the highest proportion of tech workers were found to be located in the South East of England.

“Perhaps not surprisingly, our report identifies the South East as the key region for technology clusters with the top 10 tech clusters being close to the M4, M3 or M25 motorways – all providing easy access to Heathrow Airport and Gatwick Airport,” explained Aw.

“The findings of our report clearly highlight the link between investing in transport infrastructure and attracting businesses and therefore driving growth in the UK economy.”

Wokingham, home to large multinational firms in the Thames Valley Business Park and Suttons Business Park, was found to be the top tech employment cluster in the UK, followed by Rushmoor and Hart.

London has the second-highest proportion of tech workers nationally, with the footprint particularly large in the boroughs of Richmond upon Thames and Hounslow.

Take a look at the infographics below for more details on the report.

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Image of woman cheering courtesy of Shutterstock.co.uk

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