Technology businesses in Leeds are bridging the gap with London according to experts at NatWest.

Experts say the collaborative spirit of tech businesses in the city is contributing to its success.

New figures show lending into the sector in the North of England increased by nearly 2.6% year on year to May 2017.

According to figures, NatWest’s dedicated Technology, Media and Telecoms team lent £299,294,392 to £307,071,272 to tech businesses from May 2016 to May 2017 – an increase of £7,776,880 from the previous year.





Neil Bellamy, head of Technology, Media and Telecoms (TMT) at NatWest, said: “It is great to see the regions beginning to close the gap on London’s technology hub.

“Firms outside of London often don’t receive the same kind of limelight as some of the bigger players. But the figures are a clear indication of the desire of exceptional technology businesses in Leeds to grow and thrive.

“There has never been a better time to start up a technology business. Thanks to new technology you can literally set up a business from your smart phone on your kitchen table – so getting a business started has never been cheaper or easier. There are also so many ways to use other people’s technology to scale up your business – like through the cloud – so opportunity and potential is unlimited.”

Leeds-based Hark helps companies that need to monitor, store and analyse business-critical environmental information.

The Hark system is disrupting and innovating the pharmaceutical and healthcare sector in a big way by revolutionising the way companies currently work. Their IoT platform enables firms to optimise efficiencies and offer real-time alerting to changes in environmental conditions, such as temperature or humidity, which could have very expensive consequences.

Jordan Appleson, CEO of Hark, said: “I think there is a push to bring larger tech firms up north to take advantage of the Northern Powerhouse. Sky, for example, has moved a large tech team to Leeds from London. What this means is you have a wider talent pool to choose from. That being said if you are a start-up, it can be difficult to compete with the wages which larger businesses are offering.

“The tech sector is very collaborative in the region. You have accelerator hubs like Entrepreneurial Spark Powered By NatWest supporting start-ups and you also have the new incubator that Manchester Science Park is opening near the rail station, and they are working together to support the industry.”

He said one of the biggest challenges firms face is growth once new firms are past the start-up stage.

Jordan added: “It’s learning how to juggle priorities. You have the demands of running your own business but then may be in a position where you have fulfill and order for a customer but there is an issue with the company that’s fulfilling the order so you may run into a cashflow issue. Having a strong team of experts behind you makes such a difference and in the tech-space that community is crucial as we understand each others operating rhythms.”