February in the UK tech sector continued to prove the notion that downturns are sudden and universal whereas recoveries are slow and patchy.

While some companies report improved trading, others are still finding it hard going, especially those focused on the financial services sector. Share prices were weak in the UK but much stronger in the US, evidencing an emerging (and worrying) trend that the UK is not benefiting from the AI bounce. Deal volumes remain subdued, with similar trends to the previous month with solid private equity numbers, ongoing weakness in M&A volumes, especially in ICT services, and essentially no fundraising activity in the capital markets. Meanwhile, February was a record low month for VC fundraising as later-stage deals completely evaporated but there is increasing evidence of an underlying recovery giving confidence for improved deal flow as we move through the year.

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News Analysis 05m 05s

Capital Markets 11m 44s

Private Equity 17m 49s

Venture & Growth Capital 21m 56s

M&A 24m 26s