The UK’s venture capital (VC) market oversaw a decline in the number of deals announced in 2024, new figures released by GlobalData have shown.

The data and analytics company reported 1,209 completed VC deals in 2024, down from 1,289 in 2023.

Despite this, the total value of funding increased by 16.3% to reach $16.6bn (£13.4bn) in 2024, up from $14.2bn (£11.4bn) a year ago. GlobalData suggested that this shift reflects a growing trend among VC firms to prioritise high-value investments in fewer but more promising startups.

Lead analyst at GlobalData, Aurojyoti Bose, said: “The growth in funding value despite a decline in deal volume showcases a trend wherein VC firms seem to be weighing quality over quantity and have put in big money in few promising startups.

“The UK, apart from being the top European market for VC funding activity, is also among the top five markets globally in terms of both deal volume and value.”

GlobalData’s figures showed that the UK accounted for 7.3% of the total number of VC deals announced globally during 2024, while its share in terms of the total funding value stood at 6.1%.

Some of the notable VC funding deals in the UK during 2024 included $1.05bn (£846.2m) worth of funding raised by Wayve Technologies, $1bn (£806m) raised by Abound, $500m (£403m) by Core Power, $431m (£347.4m) raised by Monzo, $370m (£298.2m) by Lighthouse, and $267m (£215.2m) worth of funding raised by Zepz.

“The increase in big-ticket deals underscores strong confidence in the UK’s innovation ecosystem, reinforcing its position as a global VC hotspot,” added Bose.

“As funding strategies evolve, the market’s resilience and ability to attract large-scale investments will be key in shaping the future of venture capital in the region.”

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