The number of tech-related enterprises in the West Midlands private sector has risen by 25 per cent since 2010, according to the latest KPMGMarkit Tech Monitor UK Survey.
Of all UK regions, the West Midlands is number four on the list of those with the greatest proportion of tech sector enterprises, with them making up 6.8 per cent of businesses within the region. The West Midlands comes in behind London, the South East and the East of England.
Standing out beyond just the West Midlands, Warwick had the fastest increase in tech sector enterprises since 2014 of any UK local authority, with a 28 per cent increase, bringing it up to 18th in local authority rankings.
Top West Midlands tech sector enterprise clusters in 2015:
14% (% of tech enterprises out of all businesses in the area)
4) Telford and Wrekin
The research shows that the West Midlands is particularly strong in advanced manufacturing and automotive tech specialisms. In particular, Warwick leads the way nationally on engineering design activities for industrial process and production; Nuneaton and Bedworth is a UK leader for the manufacture of parts and accessories for the automotive industry.
Commenting on the Tech Monitor UK Survey, Mike Steventon, Midlands regional chair for KPMG, said: “It is important that the UK has a strong tech sector and vital for the West Midlands to be at the forefront of innovation, so it is hugely encouraging to see our region’s tech industry grow by 25 per cent in just five years.
“Perhaps more importantly, we are carving out niches in the West Midlands, building on our region’s heritage in areas such as automotive and manufacturing, but doing so in a modern and innovative way. This creation of tech centres of excellence will create a virtuous circle of attracting global investment and acting as a magnet to the best tech talent.
“Although we have seen the number of tech enterprises grow so significantly, we can’t take this for granted: it is important we see the tech sector prioritised by national and local government and also put real focus on key issues such as STEM subject education, investment in regional infrastructure, including broadband, and an adequate regulatory framework.”