Farfetch, Ocado, Checkout.com join decacorn club as UK tech space thrives

The UK ranks third in the world, behind the US and China, for its number of tech businesses valued above $10 billion, according to research from Tech Nation.

The former has doubled its number of companies (aka decacorns) at this stage in six months alone, with seven companies reaching $10 billion valuations in 2021: Revolut, Wise, Arrival, eToro, Checkout.com, Farfetch, and Ocado.

Payments venture Checkout.com closed a $450 million Series C round, taking its valuation up to $15 billion.

Farfetch, the luxury e-commerce platform, reached a valuation of $16.7 billion, and Ocado, the online grocer, hit $20 billion, as both companies capitalised on changing consumer behaviour brought on by the coronavirus pandemic.

New @Kantar_UKI data is out! @Ocado Retail gains share as it continues to be the fastest growing grocer in the UK against a backdrop of YOY decline in the grocery market.
⬆️ 🛒 #GroceryMarketShare pic.twitter.com/W9W8gDF67o
— Luke Jensen (@LukeJensenOcado) July 21, 2021

Dr. George Windsor, Head of Insights at Tech Nation, says: “Through 2020 and 2021, the rapid growth of the UK’s highest value tech companies was accelerated by the pandemic, as consumers began to rely increasingly on tech for food deliveries, healthcare and solutions to societal challenges.”

“The growth of these high calue UK tech companies was also expedited by changing national and global priorities, such as the UK’s push towards reducing carbon emissions and becoming net zero by 2050, combined with the growing popularity of FinTech, DeFi and cryptocurrencies.”

“The UK is also a powerful tech incubator due to its commitment to helping startups scale and thrive.”

Sonali de Rycker, venture capitalist, comments: “In the US, you have tech, Wall Street and Government thousands of miles and three time zones apart. Here, they are a twenty minute cab ride apart.”

Guillame Pousaz, Founder and CEO, Checkout.com, says: “The data from Tech Nation highlights a resilient and healthy UK tech scene, with investments on the increase.”

“Our position in the market is twofold, both as a member of this exciting community and the enabler of growth for the scaleups leveraging our leading payments platform.”

“Tech ecosystems succeed when their scaleups build not just for a domestic market, but serve a global audience. Checkout.com grows when our merchants do, so the success of the tech scene is a virtuous cycle on our investment and commitment to the UK as our home market.”

“It’s humbling to be part of the UK’s tech community and play a part in enabling its continued success.”