New government data shows more than 1,800 cybersecurity firms generated a total of £10.1 billion in revenue in the most recent financial year, a 14 percent increase from the previous year.
The DCMS Annual Cyber Sector Report, which tracks the growth and performance of the UK’s cybersecurity industry, reveals the sector contributed around £5.3 billion to the UK economy in 2021. This is an increase of a third on the previous year’s total of £4 billion – the largest increase since the report began in 2018.
Employment across the industry rose by 13 percent, with more than 6,000 new jobs created. This brings the total number of people working in cyber in the UK to 52,700.
There were 1,838 active cybersecurity firms in the UK in 2021. More than half are based outside of London and the South East, with cybersecurity showing growth in the North East and East Midlands. The report highlights this move could be a result of remote working increasing regional opportunities.
UK-registered cybersecurity firms attracted record levels of external investment too. More than £1 billion was secured across 84 deals by companies including Bristol-based Immersive Labs, which raised £53.5 million, and London-headquartered Tessian which secured more than £52 million in funding.
In a statement, digital secretary Nadine Dorries said: “Cybersecurity firms are major contributors to the UK’s incredible tech success story.
“Hundreds of British firms from Edinburgh to Bristol are developing and selling cutting-edge cyber tools around the world that make it safer for people to live and work online.
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“We are investing in skills training and business initiatives to help the UK go from strength to strength as a global cyber power and open up the sector to people from all walks of life.”
International trade
Almost 300 UK-headquartered cybersecurity firms have offices in international markets, with 56 percent offering their products and services in the United States and 46 percent exporting to the European Union.
The UK attracted a number of foreign companies, with US-headquartered companies representing one in ten UK-based cyber companies.
The findings come as Digital Minister Julia Lopez addresses the CyberASAP demo day today. The event gives UK academics the opportunity to showcase innovative new cybersecurity products to potential buyers.
Vicky Brock CEO and co-founder of Vistalworks said the company was originally founded in response to a Scottish government innovation challenge to find technology solutions to online illicit trade.
“As we’ve grown, working closely with our government agency and cybersecurity stakeholders has remained incredibly important,” she said.
“The Cyber Runway Scale programme has enabled us to reach new public and private sector contacts, including contracts with banks and enforcement, and has helped us develop the skills and awareness we need to take our intelligence solutions to new markets and partners across the rest of the UK and beyond.”
