The fragile confidence of UK scale-ups

Toby Stangewood at Miroma Founders Network issues a call to action for marketing and media 

 

The latest Tech Nation Report 2025 has brought to light a paradoxical state of the UK tech ecosystem: it’s both potent and challenged. On one hand, UK startups have managed to raise $7 billion in the first half of 2025, with growth-stage funding being the dominant narrative. However, beneath this seemingly robust surface lie warning signs that indicate a more nuanced reality.

 

These challenges are particularly pertinent for scale-ups, companies that are beyond the initial startup phase and are now navigating the complexities of high-growth ambitions. These businesses, often with significant teams and operations, are finding it difficult to access capital and top talent, with 74% and 33% respectively citing these as their biggest barriers to growth.

 

The average time to raise funds from launch to Series C has doubled to 9.6 years, a stark indicator of the cautious investment environment. Moreover, 43% of founders are considering relocating their headquarters outside the UK, a decision that speaks volumes about the confidence (or lack thereof) in the domestic ecosystem.

 

These statistics are not mere business metrics; they signal that the confidence to grow and scale with conviction is under serious pressure. In this environment, where confidence is fragile and capital is cautious, the role of marketing and media becomes paramount.

 

Marketing can no longer be treated as the last piece of the puzzle in a company’s growth strategy. Instead, it must be central to it. When properly aligned with a company’s ambition, marketing becomes a force multiplier that can: 

• Build conviction: In a world where fundraising cycles are lengthy, marketing’s role extends beyond mere awareness. It’s about earning belief in the brand. Whether a company is raising capital, hiring talent, or expanding its operations, its brand must exude clarity and momentum.
• Attract talent and investment: Marketing is not just about driving customers; it’s also about building a reputation that attracts capital and top talent. With over a third of founders citing talent access as a significant barrier, and more than half advocating for visa reform or R&D tax credits to support hiring, effective marketing can position a company and its country as the destination of choice.
• Create velocity: In an economy where reaching Series C takes nearly a decade, marketing cannot afford to be slow, safe, or vague. Brands must move quickly, prove their value, iterate based on feedback, and generate measurable commercial impact. 

As we navigate these challenging times, the integration of AI-powered marketing tools presents both opportunities and challenges. While AI can enhance efficiency and personalisation, it’s crucial for scale-ups to partner with agencies that not only possess the right technology but also the human expertise to apply discernment and strategic thinking. The future of marketing lies in striking a balance between technological capability and human intuition.

 

The current state of the UK tech ecosystem demands a re-evaluation of marketing’s role in growth strategies for scale-ups. It’s time for marketing and media to step up, to be more than just supportive functions, but central drivers of growth and confidence. By building brand and marketing capabilities that scale with ambition and leveraging the strengths of both AI and human expertise, companies can grow with confidence.

 

The question now is: how will marketing and media respond to this challenge? Will they continue to be seen as peripheral, or will they take on the central role that the current business environment demands? The future of UK scale-ups’ growth and confidence may well depend on it. 

 

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Toby Stangewood is Chief Strategy Officer at Miroma Founders Network

 

Main image courtesy of iStockPhoto.com and NanoStockk