The number of new technology incorporations in the UK has risen to a record high for the second quarter in a row, according to new analysis.
There was a total of 15,470 new tech companies founded in the UK in the third quarter of 2025. This marks a 36% surge from the same period last year and an 8% rise from the previous quarter, itself a record period, according to figures from RSM UK.
This increase was spread across the whole of the UK, with every region seeing an increase in tech incorporations compared with last year.
London, the East of England, the North West, the South West, Wales and the West Midlands recorded their highest quarter since 2019.
“Q4 may see further growth in the wake of positive messaging from the UK government on the tech sector and the US-UK Tech Prosperity Deal announced during the US President’s recent visit,” noted RSM UK’s head of technology industry Ben Bilsland.
“This deal pointed to deep investment in AI, civil nuclear energy, quantum technologies and further frontier innovations. Leading US tech companies made multi-billion figure promises of investment into the UK as their CEO’s praised the UK’s tech ecosystem.”
Bilsland, who praised the pace of growth among UK startups, said the government will have to “address roadblocks” to ensure these thousands of new companies will be able to grow.
“Funding is crucial, alongside access to the right talent and skills, and a regulatory environment that balances innovation with protection,” Bilsland said.
“As we approach the Autumn Budget, all eyes will be on the Chancellor to unveil growth-friendly tax incentives for businesses and to protect the R&D tax scheme, which is a crucial pillar to support innovation and development.”
