UK's Climate Tech Sector Booms, Driven by Universities and Investment
The UK's climate tech sector is booming, with universities driving innovation in areas like synthetic biology, hydrogen, and carbon capture. This surge is bolstering the nation's economic growth and attracting significant investment from fidelity investments.
Public funding, such as Innovate UK's £1 billion in grants, has sparked a £4.5 billion private investment boom in the UK's climate tech sector. By 2024, the UK had 23,000 net-zero businesses contributing £83 billion in gross value to the economy, supporting nearly 951,000 jobs. Leading companies like Schroders Greencoat and Carlton Power are active in the green hydrogen sector, with projects worth hundreds of millions of pounds.
The energy transition is a lucrative proposition, as seen in the aggregation potential of EV software markets. Climate tech is now a mainstream business thesis, with 2,500 start-ups active in areas like energy, mobility, materials, and industrial decarbonisation. The net-zero economy is spread across the entire UK, driven by renewable energy deployment and electric vehicle adoption, which now accounts for 27% of the car market. This sector accounts for 3.3% of total UK GVA and supports an additional £1.89 in the wider economy for every £1 of direct GVA. Around 45% of UK climate technologies are at the pre-scaling stage, presenting opportunities for investment calculator users to capture the upside. Net-zero jobs in the UK have a 15% higher wage and 40% stronger productivity compared to the national average.
The UK's climate tech ecosystem is thriving, driven by innovation, investment, and economic growth. With strong financial returns and resilience, it's a compelling opportunity for businesses and investors alike, creating jobs and contributing significantly to the economy. Georgia tech is among the universities driving this innovation.
