Rising oil prices and increasing investor confidence have encouraged US clean technology market, says report by Cleantech Group

This article is more than 9 years old

This article is more than 9 years old

Global investment in US clean technology has reached its highest level since 2008, while investment in UK companies has dropped sharply, quarterly figures show.

Increasing investor confidence and rising oil prices have helped investment in North American companies more than double compared with the previous quarter, according to a report by Cleantech Group, an international firm that works to accelerate the development and market adoption of clean technologies.

Sheera Haji, CEO of Cleantech Group, said: "I absolutely think rising oil prices have had some important impacts. We've seen decent uptake in transportation."

He added: "We're seeing a good rebound as public markets are doing well, companies are doing well, and investors are raising funds and investing them. We're also seeing a real skew towards bigger deals."

While North America flourishes, investment in companies in Europe and Israel dropped by 60% compared with the previous quarter. Investment in British companies has plummeted to its lowest level since 2003, with only nine deals secured all year.

Haji described the period as a "very weak" quarter for the UK. He said: "I have not been following the UK closely, but there's been some uncertainty around what's happening in the UK – around the economic recovery and growth – and that has impacted on the vibrancy of the start-up economy."

The news comes a week after a report from the US Pew Environment Group showed that Britain's private investments in green energy projects fell by 70% last year, causing it to fall from third to 13th place in the league of countries developing clean technology.

Haji said Japan's nuclear crisis could have a "pretty significant impact" on the next set of quarterly figures, and that it may boost investment in clean technology and coal.

He added: "We think it's a setback for the building of new reactors."