←Back to blog
UK
September 5, 2025

Tech Nation Report 2025: How the Growth of the UK Tech Sector Opens Doors for Talent

The annual report by the British organisation Tech Nation, which researches and supports the technology ecosystem, is not just a glossy snapshot of the industry but a reliable thermometer: it shows where the UK is overheating, where resources are lacking, and where the country will be pulling in talent in the coming years. The key question for us is how this growth and the findings of the report affect the chances of relocating via the Global Talent and Innovator Founder routes. Relogate co-founder Roman Tsuper has analysed the report and explains what these numbers mean for IT professionals and startup founders considering the UK.

Record growth of the UK tech sector


In recent years, the UK has become the most valuable technology ecosystem in Europe: the combined valuation of its companies has already surpassed $1.2 trillion — more than France and Germany together. And importantly, this is not a “one-off spike” but steady growth at around 12.5% per year. For an economy where 2–3% GDP growth is usually considered good news, these figures are striking. Investors are mainly backing companies with scalable models and ambitions for international expansion. By sector, AI, fintech, and deep tech are leading — precisely the areas now short of people who can deliver products at “industrial scale.” To put it in investor language: the market is ready to pay for those who can not only train models and write pipelines but also turn them into revenue.

The UK already counts around 163 unicorns, with about 90% of them staying and growing domestically. In the 1990s, reaching a $1 billion valuation could take “forever”; today the average is under five years. This is more than a nice metric: large players drive multiplication effects — former employees and co-founders launch their own projects, investors reinvest exit gains, and dense hiring chains emerge. According to Tech Nation, this “generation of unicorns” has already given rise to about 259 new startups — and it is often this “second circle” that absorbs international specialists.

The geography is shifting too: London still holds the lion’s share of total value (about 59%), but the fastest growth is now in regional hubs such as Scotland, the East Midlands, and the North East. For candidates, this translates into a simple reality: job and partnership options go far beyond “an office near Liverpool Street.” And yes, in the regions competition for talent is often lower and decision-making faster.

If your first thought is, “so there’s no time — I should pack my bags,” not quite. Time really is limited, but the suitcase can wait: it is more important first to understand which profiles and cases are currently being approved under Global Talent and Innovator Founder, and how rule changes will affect this. More on that in the next section.

Challenges and risks for further growth


On the charts everything looks flawless, but if you dive into surveys of startup founders, the picture becomes more complicated.

Access to capital.

Three out of four founders openly admit: the tightest bottleneck is funding for scaling. Seed money can still be found, but when it comes to Series A and beyond, the UK market seems to stall. Large funds are cautious, and without those “heavy cheques,” companies get stuck at the “promising startup” stage and never make it to global player status.

Talent shortage.

One in three founders complains about the lack of people. The pain is felt most acutely in AI and deep tech: engineers and data scientists can take months to hire. Add to this the complexity of visa rules — and many teams simply can’t fill roles in time, even though the market is ready to pay.

Taxes and regulation.

Employees want stock options, investors expect clear tax regimes, but in practice the rules are confusing and subject to constant changes. Without proper “sandboxes” for experimentation, startups risk spending more time on lawyers than on product.

Risk of exodus.

The most alarming signal: 43% of founders are considering moving their headquarters abroad, most often to the US. Late-stage capital is easier to access there, tax conditions are clearer. As a result, the UK nurtures startups, but the biggest IPOs and scaling often happen in other jurisdictions. The economy loses part of the very value it has created.

Immigration policy in 2025: a course for talent and innovation


How did the UK government respond to these challenges? In May, the Cabinet presented a White Paper under the bold title “Restoring Control of the Immigration System.” The document is broad in scope, with a dual goal: on the one hand, to reduce overall migration; on the other, to keep pathways as open as possible for those who genuinely drive the economy forward.

The main change is an increase in the period required to obtain permanent residence (ILR) from the usual five years to ten years for most categories. But alongside this comes the concept of earned settlement — meaning that if a founder or specialist creates jobs, pays taxes, or contributes to research, the period can be shortened. The logic is simple: if you benefit the country, the country opens its doors faster.

The government has effectively divided migration into two tiers. For low-skilled routes, pathways are being closed or tightened (for example, the cancellation of the visa for social care workers and an increase in English language requirements to B2 or higher). But for talents and entrepreneurs, the trend is the opposite: the UK wants to attract more scientists, engineers, and tech founders.

The document explicitly highlights priority visas: Global Talent, Innovator Founder, and High Potential Individual. For Global Talent, easier access has been promised, particularly for specialists in science, technology, and design. For Innovator Founder, a review of the rules is planned so that graduates of British universities can more easily launch their own projects and establish themselves in the country.

Some questions, however, remain unresolved. For example, will holders of Global Talent continue to have the accelerated route to ILR in three years? At present, this is one of the visa’s key advantages, but the final criteria for who will fall into the category of “exceptional talent” are still being developed. Another potential risk is new language requirements: discussions suggest these could apply to dependants of talent migrants, which has not been the case before.

What this means for Global Talent and Innovator Founder applicants


Looking closely at the Tech Nation Report 2025, the signal for candidates is clear: the UK is accelerating, and it needs a “fuel injector” of people who can build products, scale technologies, and turn R&D into revenue. Here is how to translate that into your application.

Global Talent Visa: how to strengthen your case in 2025

What to highlight first:
  • Contribution to the UK economy and innovation. Not in abstract terms, but concretely: how your experience will speed up the launch or scaling of a UK product, which teams/investors/labs you have already engaged with, what pilots are ready to start.
  • Industry recognition. Publications about you or your products, jury memberships, awards, talks, open-source contributions (i.e. your work on open-source projects), citations, patents, independent media mentions.
  • Commercial impact. Before/after metrics: growth in revenue or user numbers, improvements in retention, faster models or higher throughput in ML pipelines, stronger unit economics, results from A/B tests, enterprise integrations. Specific metrics are always stronger than general statements.
  • Critical role. Spell out exactly what you did: architecture, scaling, security, go-to-market. Avoid vague wording like “led a department.”

How to package your evidence:
  • A single narrative (1–2 pages). Who you are, what problem you solve, and why this matters in the UK right now. This is the backbone for your evidence.
  • 3–5 strongest cases. For each: the goal → what you did → measurable impact → supporting proof (screenshot/link/letter/article).
  • Support letters. 3–5 letters from independent industry figures (not just your current colleagues). They must confirm specific achievements and scale of influence, not just say “he is talented and promising.”
  • UK relevance. LOIs (letters of intent/interest) from UK companies, incubators, or universities; proof of engagement in local communities or hubs (meetups, accelerators, hackathons).

Quick boosters you can add in 30–45 days:
  • Speak at a relevant UK meetup or conference (even online) and publish the slides/recording.
  • Write a technical article on a professional platform.
  • Make an open-source contribution with reviews from respected maintainers.
  • Publish a case study on your company blog or on VC/Medium/Dev.to, with metrics.
  • Join a programme or project with a UK partner, even as a pilot.
Common “red flags” — and how to fix them:
  • Few independent mentions. Arrange for external publications/talks; show citations or OSS usage.
  • Letters focus on character, not impact. Ask authors to confirm specific facts and metrics.
  • Weak UK link. Add an LOI, a pilot with a UK client, or local hub participation.
  • Inconsistencies in your CV. Align dates, roles, and results; standardise terminology.
  • English “good enough to get by,” but not formal. Raise your level to confident B2 at least for interviews and networking — this affects how your case is perceived and your “readiness for the market.”
Innovator Founder: when an entrepreneur should come to the UK


This route is for those who have an innovative, viable, and scalable project for the UK market. Not “just another marketplace,” but a technological solution with a new approach, technology, or business model — and realistic economics.

What endorsers want to see in 2025:
  • UK product–market fit. A clearly defined problem, validated with UK clients. LOIs, pilots, or early UK sales are gold.
  • Growth model and funding. Clear unit economics, CAC/LTV, a financing plan (seed, grants, corporate partnerships), and a 12–24 month roadmap.
  • Team and roles. Why you (and your co-founders) are capable of building it: skills, past exits/launches, advisors, team members.
  • IP/technology. Defensibility of your solution: patents, know-how, entry barriers, access to data/infrastructure.
  • Contribution to the UK. How many jobs you will create, which competencies you will develop locally, and which cluster you fit into (AI, robotics, medtech, etc.).

Common mistakes that sink applications:
  • Idea “in general terms,” without numbers. Show the market, unit economics, and roadmap.
  • No UK connection. You need pilots or LOIs specifically from the UK.
  • Unclear founder role. Endorsers want to see that you will be full-time and critical to the project’s success.
  • No hiring or tax plan. Show who you will hire and when, and how this fits into your model.

Regardless of the route, language and integration into the community are no longer “nice to have” but success factors. Aim for at least confident B2 English — enough for negotiations, meetups, and due diligence. In parallel, build a local network: attend industry events, speak at them, find UK mentors. This strengthens your case and speeds up adaptation.

The Tech Nation Report 2025 showed that the UK tech sector is growing faster than its neighbours and is already the largest in Europe. But along with success come challenges: lack of capital, shortage of talent, risk of startups moving abroad. The government is responding with reforms — from pension fund investments to simplifying visa routes for talent and founders.

In short: this is a good window of opportunity. The UK business ecosystem is pulling experienced people in, and visa routes are increasingly tailored for those who make a measurable contribution. If you want to assess your chances and understand which path suits you, we can help you build a strategy and reach approval.

At Relogate, we start with diagnostics and pinpoint what needs to be “upgraded”: public profile, letters, UK relevance, financial model. Then we collect additional evidence, edit letters for strength, check consistency and metrics, audit risks (inconsistencies, weak wording, unnecessary “fluff”), and only then submit. For Innovator Founder, we add product and financial expertise: we refine your deck, unit economics, and prepare you for conversations with the endorser and investors.

Book your first free consultation — let’s go through your case together!

Read more
UK
August 29, 2025
Small Steps Against a Predetermined Fate: Marina Shulga on Moving to London with an Innovator Founder Visa
USA
August 22, 2025
Screening for “Anti-Americanism” in U.S. Visa and Green Card Applications
France
July 29, 2025
From Passeport Talent to Talent: How France’s Residence Program for Professionals and Entrepreneurs Has Changed
UK
July 18, 2025
UK Tax Reform: Is FIG Better (or Worse) Than the Non-Dom Regime?