Digital companies account for over half London’s economy

Woman hand share the cloud against blue background. Concept image on cloud computing theme with copy space.According to recent research carried out by Oxford Economics on behalf of Virgin Media Business, more than half the companies based in London claim to be digital content or digital service providers.

The research, which was published within the report: ‘UK’s £92bn Digital Opportunity’, asserts that a further £48.5bn could be generated for London’s economy if better “digital capabilities” were made available.

Digital companies currently comprise 54% of London’s economy. Collectively their revenues grew by an average of 4.4% last year – which is significant when compared to the UK’s overall economic growth of 2.6% in 2014.

Russ Shaw, founder of Tech London Advocates, said of the report: “Today’s report comes as no surprise”, adding “we see digital disruption sweeping across the city’s traditional industries.”

He also made hints at where he, and his colleagues, thought the next UK unicorn might be hiding.

“London’s tech experts believe it will be the retail industry that produces the capital’s next billion-dollar technology company. Technology has broken out of Old Street and is driving revenue, jobs and innovation from Canary Wharf to Croydon.”

About The Author