Property sector benefits from additional £74M investment in the last year
New research has revealed that private investment in the UK property sector increased by £74.10 million last year – the fourth-highest surge of any UK sector.
This comes as the UK Investment Association unveils new recommendations to unlock private market investment in UK businesses, potentially paving the way for future investment going forward.
The business finance experts at money.co.uk business loans have analysed BVCA data to reveal the industries experiencing the biggest private funding increases and decreases.
Changes in private investment by sector:
Amount invested (£m) |
|||||
Rank |
Industry sector |
2023 |
2024 |
Difference |
Difference (%) |
1 |
ICT (Communications, computer and electronics) |
4,116.14 |
10,566.26 |
+6,450.12 |
+156.70% |
2 |
Business products and services |
3,145.32 |
6,785.71 |
+3,640.39 |
+115.74% |
3 |
Biotech and healthcare |
2,682.09 |
4,542.45 |
+1,860.37 |
+69.36% |
4 |
Real estate |
110.24 |
184.34 |
+74.10 |
+67.21% |
5 |
Construction |
69.88 |
110.23 |
+40.36 |
+57.75% |
6 |
Chemicals and materials |
82.95 |
66.01 |
-16.94 |
-20.42% |
7 |
Financial and insurance activities |
3,409.33 |
2,495.57 |
-913.76 |
-26.80% |
8 |
Consumer goods and services |
4,018.61 |
2,791.62 |
-1,226.99 |
-30.53% |
9 |
Energy and environment |
2,237.43 |
1,150.29 |
-1,087.14 |
-48.59% |
10 |
Agriculture |
279.58 |
18.92 |
-260.66 |
-93.23% |
Further Study Insight:
-
Despite the additional investment, the real estate sector was the worst-affected by cuts to government-backed EIS and SEIS funding slash, receiving both the fewest investments and the lowest amount of funding per business over the past year.
Joe Phelan, money.co.uk business loans expert, comments:
“The key driver of growth is capital. If you miss out on securing external funding, you could risk losing your competitive edge. Securing financial aid can be the boost your business needs to succeed in your chosen industry. For example, securing financial aid allows your business to scale up faster than relying on company cash flow. You can hire extra staff, invest in equipment, or take on more projects, which could allow you to seize opportunities in new markets.
“In addition, access to funding at the beginning of your business journey doesn’t just support your current operations; it provides the freedom to innovate. With financial aid in place, you can invest in research and development and explore new technologies. Whether building a more sustainable process or introducing a new product to market, funding can help bring your best ideas to life faster.
“However, not every sector attracts consistent investment. But even if your business operates in a less-invested industry, that doesn’t mean you’re out of options. For sectors with low or declining levels of investment, business loans can help bridge the financial gap and give you quick access to funds to scale your business. Whether you’re investing in equipment or expanding operational capacity, loans offer predictable, scalable support that isn’t tied to investor preferences.”