The UK ranks #1 in educational technology venture capital and angel funding in Europe, contributing 34% (£178 million) of the total, according to Benjamin Vedrenne-Cloquet, co-founder of London EdTech Week and EdtechXGlobal, and partner in IBIS Capital, a leading edtech investment firm.
The new research comes ahead of the first London EdTech Week (19th to 23rd June 2017), which will feature more than 30 events and 6,000 attendees from more than 50 countries.
The £178 million comprises investments from UK-based venture capital and seed angel investors in early stage (less than £10m in revenues) edtech companies.
The UK edtech market is expected to reach £3.4bn by 2021 (out of a total of £100bn UK education market) and is growing at 22% year on year. The total average expected growth over the next 2 years of UK edtech companies (based on a sample of 102 start ups) is predicted to be 29% per year.
The educational technology sector is one of the fastest growing in the UK and has now reached the same number of digital companies as financial technology, or fintech. The UK has more than more than 1200 edtech companies, approximately a quarter of the total number in Europe.
Additionally, the UK and London specifically is home to a large amount of institutional and venture capital money seeking edtech opportunities.
Edtech companies founded in the UK are also among those most likely to expand globally, eg, Primo Toys (early years Coding), ShowMyHomework (K12), BridgeU (Higher Education), Edume (Upskilling).
UK heritage education brands have also been early adopters of edtech to help them export their brands (eg, EtonX, a digital extension of Eton for Chinese students).
There are enormous opportunities for the UK in the edtech sector – Benjamin Vedrenne-Cloquet, IBIS Capital partner and co-founder of London EdTech Week and EdtechXGlobal
Benjamin Vedrenne-Cloquet, IBIS Capital partner and co-founder of London EdTech Week and EdtechXGlobal, said: “There are enormous opportunities for the UK in the edtech sector. London is home to some of the start-ups with the most potential for global expansion and also home of many heritage brands that are early adopters of this technology.
“Edtech and digital delivery are true opportunities for these heritage UK education brands to shine globally. The UK’s education exports industry is worth £17.5 billion to the UK economy, and the UK is the 2nd largest destination for international students.”