With a surge of innovative start-ups making their mark in recent years, the Bristol and Bath region is rapidly emerging as one of the UK’s burgeoning tech hotspots. A recent report by UKTN, in collaboration with international law firm Womble Bond Dickinson (WBD) and Lloyds Bank, revealed that key regional initiatives such as the West of England Combined Authority-backed START accelerator programme and the South West Investment Fund exemplify the collaborative efforts underway to bolster the tech ecosystem.

However, for businesses looking to capitalise on these opportunities and retain talent in the South West, strategic actions are essential. WBD hosted an event discussing what companies of all sizes need in order to secure investment and thrive in the region. Moderated by UKTN senior reporter Oliver Hornstein, the panel included Alastair Mitton, a partner in WBD’s digital team, Gayle Bowen, investment director at Wealth Club and Rafi Khan, investment manager at Maven Capital Partners.

Bristol and Bath boast a diverse array of tech companies, particularly in telecoms, advanced materials, Green tech and health tech. Despite these strengths, the region faces a branding challenge, often overshadowed by more self-promotional areas.

While a collaborative culture is prevalent, fostering shared outcomes and a united regional approach, the tech sector must balance this with competitive drive, akin to Silicon Valley’s model. Rising costs of living and expensive office spaces are significant pressures, yet incubators like FutureSpace and Science Creates provide affordable, specialist spaces that encourage knowledge sharing and innovation.

Bristol’s proximity to London is both an asset and a liability. The ease of attracting investment is counterbalanced by the risk of becoming a talent feeder for London-based companies. This dynamic underscores the need for a robust, self-sustaining regional ecosystem.

Securing early-stage investment remains a primary challenge. The South West Investment Fund (SWIF) offers a substantial £200m for smaller businesses, but questions persist about sufficient support for nascent ventures. The investment process is becoming increasingly protracted due to heightened due diligence.