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UK tech sector still an investment target

Brexit is yet to undermine the UK tech sector in the eyes of global investors with plenty expecting this country to continue producing innovation

Brexit might have caused plenty of uncertianty but it has not diminished the attractiveness to investors of the UK tech sector.

The channel might be enjoying the investment made by firms as part of digital transformation strategies and there should also be some opportunities as a result of further funds coming into the sector.

According to KPMG the UK tech sector is fourth in the global rankings for technology breakthroughs, which is a climb up from last year, when it was seventh.

There are several beacons of activity in the UK with London leading the way. Cities like Manchester, Cambridge and Bristol have also gained worldwide reputations for developing technology.

“The research shows the UK’s technology sector drew more investment than that of any other European country in 2016 and that London is seen as a major hub for big data, fintech and a variety of digital technologies," said Tudor Aw, head of technology sector at KPMG.

"Despite the uncertainty presented by Brexit and other economic factors, the UK and London has not lost its shine when it comes to its technology pedigree," he added.

Silicon Valley leads the way but investors view the UK, with London as a growing rival that can mount a challenge to the US dominance.

“Technology underpins the competiveness and development of almost every sector. It is a key battleground for most economies and the UK must ensure it is a leader in this field,” said Aw.  

With Article 50 looking like it will be triggered at the end of the month there continues to be a great deal of uncertianty about quite what will happen next.

Despite all of the fluctations of the pound and price rises the tech sector has weathered the storm well so far and many are prepared for any eventuality.

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