The Courier & Advertiser (Angus and Dundee)
Dundee’s digital tech cluster is the fastest growing in Britain
Report shows value of Dundee tech cluster more than doubled in five years to almost £100m
Growth in Dundee’s digital technologies sector has outpaced all other UK-based clusters, with revenues now close to £100 million annually.
Research for the latest Tech Nations 2017 report found Dundee generated the highest turnover growth of any major cluster – including London, Manchester, Birmingham, Edinburgh and Glasgow – in the five-year period between 2011 and 2015.
Dundee – which is famed for its strengths in computer gaming and is home to 4J Studios, the phenomenally successful producer of console editions of Minecraft – saw 171% digital turnover growth in the period, with economic output increasing to £97m.
The UK capital saw the second strongest rate of turnover growth in the period of 106%, although that increase was far greater in real terms as it related to a more than £28 billion spike in digital derived earnings to £56bn.
Sunderland saw the third-strongest revenue growth at 101% over the fiveyear period, with Bristol and Bath collectively coming in fourth at 87% and Edinburgh just a sliver further back at 87% growth.
Of the Scottish based-digital clusters,
We need to maintain access to skilled workers while doubling down on home grown tech talent. GERARD GRECH, TECH CITY UK
Glasgow is the largest with total digital economic output of £591m on an annual basis.
Edinburgh – home to Skyscanner and Fan Duel, Scotland’s two tech ‘unicorn’ businesses with individual valuations of more than £1bn – boasts output of £513m annually.
Gerard Grech, chief executive of Tech City UK, said the data showed a sector that was gaining momentum.
“There are now significant tech hubs all over the UK, attracting both international investment and overseas talent,” Mr Grech said.
“Tech careers now pay 44% more than the national average wage.
“These foundations will be crucial as we prepare to leave the EU. We need to maintain access to skilled workers while doubling down on home-grown tech talent.
“And we need to think big. This report is all about working together on a common vision: the UK as a global leader in tech.”
The findings were based on interviews with more than 2,700 members of the UK digital technology community.
Across the UK as a whole, the average salary for a tech worker is £50,663, more than £15,000 higher than in the non-tech space.
Productivity is significantly higher in the tech sector than other areas of the economy.
The report found the UK’s digital tech sector supported 1.64m jobs and produced total economic output of £97bn.
Culture and media secretary Karen Bradley added: “This Tech Nation report highlights the fantastic performance of the UK’s digital sectors, which are driving growth across the whole country and creating well-paid and highly skilled jobs at twice the rate of other industries.”