Turner Little has learned that UK digital business expansion outpaced growth rates for the rest of the country’s economy last year.
Digital economy
A government report, published in December 2015, shows that the UK has developed one of the most robust digital economies in the world. The average British person now spends roughly £1,500 online for goods each year and the country’s digital economy benefits from £145 billion in digital technology spending per annum.
Digital information organisation Tech City UK recently released their Tech Nation 2016 report. In this study they write: “Digital tech businesses are at the heart of the UK economy and are playing an important role in driving growth… Digital tech businesses are transforming the employment landscape, driving productivity, and reimagining traditional industries.”
Outpaced growth
According to Start-ups, the Tech Nation 2016 report suggested that British digital firms are growing 36% faster than the national average for companies in other industries. By questioning 2,000 UK digital companies, Tech City UK found that these firms possess an annual combined turnover of £161 billion.
The British digital industry now employs 1.56 million people, as jobs in the sector have expanded by 11.2% between 2011 and 2014. Nearly half (41%) of these jobs were actually within non-digital British industries like the public and finance sectors.
Evolving sector
Speaking out on the release of the report, UK Prime Minister David Cameron commented: “Britain’s world leading tech sector gives us a competitive edge that is not just transforming our daily lives but also our economy. Tech is transforming the way we do all kinds of business.” In the government’s Digital Economy Strategy 2015 – 2018, Whitehall revealed that they’re planning to spend £30 million per year on providing support for innovative business projects in the digital sector.
Rapid advancement of digital technologies and increasing e-commerce spending is fuelling the growth of the UK’s digital businesses. As the government commits itself to supporting digital business expansion in the next few years, the sector could provide more opportunities to entrepreneurs looking to start their own companies. If you want to tap into the UK’s evolving digital economy, Turner Little can provide the company formation advice you require to get your venture off the ground.
Turner Little
Turner Little was founded in 1998 and it has since become a well-established UK based professional Company Registration Agent, Registered Bank Intermediaries and Business Consultants, as well as Trust provider.
