Belfast Tech Boom: Cybersecurity & Fintech Predictions

Belfast's Rising Tech Scene: A City Transformed

Significant progress has been observed in Belfast following the cessation of the Troubles. Over the last twenty years, the city has experienced substantial improvements to its infrastructure. Furthermore, tourism has seen a considerable surge, driven by landmarks like the RMS Titanic’s construction site and locations featured in the filming of Game of Thrones.

Employment figures within the city have consistently increased since 2016, as reported by Northern Ireland’s Department for the Economy. The presence of the renowned Queen’s University, coupled with a relatively low cost of living, further enhances Belfast’s appeal. Gentrification is also beginning to emerge, indicating a positive trajectory for Northern Ireland’s capital.

Growth and Potential in the Tech Sector

Regarding the local startup environment, a 2018 report by Tech Nation indicated that approximately 26% of Belfast’s workforce was engaged in the technology industry. The city is also recognized as having one of the highest growth potentials among U.K. cities for 2021.

To gain a comprehensive understanding of the current tech startup ecosystem, we consulted with founders, investors, and executives operating within the city. The survey revealed strengths in sectors including fintech, agritech, hospitality tech, emerging tech, cybersecurity, SaaS, and medtech.

Ignite NI was identified as a key local incubator and accelerator program, playing a vital role in nurturing new businesses.

Notable Startups in Belfast

Several promising startups were highlighted by our respondents. These include: CropSafe, SideQuest, Aflo, Material Evolution, Cloudsmith, LegitFit, Continually, Gratsi, 54North, Animal Manager, Kairos Sports Tech, Budibase, Incisiv, Automated Intelligence, loyalBe, Konvi, Lane 44, Teamfeepay.com, Axial3D, Neurovalens, Payhere, and Civic Dollars.

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Investment Landscape and Future Outlook

The investment climate is characterized by strength in both software and life sciences, although some perceive it as occasionally overly cautious. However, a shift towards greater openness is becoming apparent, and foreign direct investment (FDI) is proving to be a significant catalyst for growth within the ecosystem.

Despite the ongoing uncertainties surrounding Brexit’s impact on Northern Ireland, one executive expressed optimism, stating that capitalizing on the situation is possible. Maintaining a position within both the EU and U.K. markets provides distinct advantages that should be leveraged.

A founder anticipates an increase in private capital flowing into Belfast as global investors recognize the synergy between strong local universities and substantial FDI, which attracts highly skilled engineers. The affordable cost of living is also contributing to talent retention, positioning the city’s tech scene for substantial expansion.

Experts Consulted

The following individuals contributed their insights to this report:

• Cormac Quinn, Founder & CEO, loyalBe
• Susan Kelly, CEO, Respiratory Analytics
• Ryan Crown, Co-founder, Hill Street Hatch
• Fearghal Campbell, Founder, Pitchbooking
• Jack Spargo, Co-founder & CEO, Gratsi
• Brendan Digney, Founder, Machine Eye Technology
• Toyah Warnock, Co-founder, Lane 44
• Alan Carson, CEO, Cloudsmith

 

Cormac Quinn, Founder & CEO, loyalBe

In what sectors does Belfast’s technology ecosystem demonstrate particular strength? What areas generate the most enthusiasm? What gaps currently exist?
Belfast possesses notable expertise in cybersecurity, and to a somewhat smaller degree, fintech. The increasing number of new startups emerging across diverse sectors is particularly encouraging. Historically, Belfast lacked a robust startup culture, but a significant shift is now readily apparent. I previously believed relocation to the U.S. was necessary to launch a tech venture, but that is thankfully no longer the case.

Which startups within Belfast are particularly noteworthy?
Several companies are making significant strides: Cloudsmith (developer tools), LegitFit (scheduling solutions), Continually (chatbots and marketing automation), and Automated Intelligence (data management). This represents a selection of promising startups, rather than a comprehensive list.

How would you characterize the investment landscape in Belfast? What are the primary investment focuses?
Local investors tend to be relatively cautious and adhere to established practices. Securing investment exceeding £1 million often necessitates seeking funding outside of Northern Ireland. A current shortage of private capital is regrettable, given Belfast’s exceptional talent pool and comparatively low operating costs. This affordability extends investor capital further due to reasonable salaries and rental rates. However, Belfast appears to be entering a new phase, and I anticipate increased local exits in the coming years, which should stimulate further private capital investment.

Considering the rise of remote work, what impact do you foresee on Belfast’s population? Will residents remain, depart, or will new individuals relocate to the city?
The city experienced growth prior to the pandemic, and I expect this trajectory to resume as conditions normalize. Belfast historically suffered from a negative perception, but this is gradually evolving. The city is witnessing a surge in new developments, including student housing, hotels, and modern apartments – amenities that were scarce 15-20 years ago.

Who are the key individuals driving Belfast’s startup ecosystem? (e.g., Investors, founders, legal professionals, designers)
Chris McClelland, Managing Director of Ignite NI: He serves as a mentor within the city’s leading accelerator program and is also the co-founder of BrewBot.
Ian Browne, Chief Operating Officer of Ignite NI: An accomplished entrepreneur and a valuable mentor to startups in the region.
Mark Dowds: A Venture Partner at Anthemis and the co-founder of Ormeau Baths, which I consider the city’s premier co-working space.

What is your vision for Belfast’s tech scene in five years?
Despite the uncertainties surrounding Brexit, I believe we can leverage our position strategically. Our access to both the EU and U.K. markets provides a distinct advantage. I foresee an increase in private capital flowing into Belfast as global investors recognize the strength of our local universities and the substantial foreign direct investment that has attracted highly skilled engineers. Coupled with the city’s relatively low cost of living – ensuring capital is directed towards innovation rather than rent – Belfast’s tech sector is well-positioned for significant growth.

Are there any companies you would recommend for consideration in our global Startup Battlefield competition?
Cloudsmith.

Susan Kelly, CEO, Respiratory Analytics

In what technological sectors does your regional ecosystem demonstrate particular strength? What developments generate the most enthusiasm, and where are the key deficiencies?
The areas of cybersecurity, financial technology, and digital innovation are well-established. A robust medtech sector exists, though further development is required. While the Ignite incubator and accelerator programs are valuable assets, expansion towards the Northwest is crucial to address areas experiencing deprivation and inadequate infrastructure.

Government funding initiatives are adequate, but their fragmented nature and complex accessibility present challenges.

Could you highlight some of the most promising startups currently operating in Belfast?
Notable companies include CropSafe, SideQuest, Aflo – my own venture – and Material Evolution.

What characterizes the investment landscape for technology companies in Belfast? What are the primary areas of investor interest?
Investors tend to be overly cautious, exhibiting a lack of diversity and a reluctance to embrace risk. However, a positive shift is gradually occurring. The cost of legal services is disproportionately high. A transition towards a more streamlined investment model, similar to that found in the United States, is needed.

There is an underrepresentation of women within the investment community. Investment focus currently favors software, which is positive, but there’s insufficient risk appetite for hardware ventures. The ecosystem would benefit from a greater number of seasoned angel investors. The Halo Business Angel Network appears somewhat conventional.

How has the rise of remote work impacted Belfast’s talent pool? Are individuals relocating to or from the city?
The COVID-19 pandemic has triggered a significant return of individuals to Belfast and Northern Ireland more broadly.

Who are the pivotal figures driving the startup ecosystem in Belfast – including investors, founders, legal professionals, and designers?
Ignite NI is a primary force, spearheading growth through its Propel (Pre-Accelerator) and Accelerator programs. Clarendon, Techstart, a network of angel investors, and Catalyst all play important roles. Big Motive serves as a crucial design resource.

What is your vision for the future of Belfast’s tech scene over the next five years?
With increased support from Invest NI, all of Northern Ireland has the potential to become a thriving innovation center, closely connected to the Irish startup ecosystem.

Are there any companies you would recommend for consideration in our global Startup Battlefield competition?
CropSafe is a strong contender.

Ryan Crown, Co-Founder at Hill Street Hatch

In what industries does your local technology community excel? What developments are you finding particularly promising? What areas require improvement?
Our ecosystem demonstrates strength within the broader technology sector. We are particularly enthusiastic about innovations that are reshaping the launch process for hospitality businesses. However, Belfast currently experiences a deficiency in available investment and active investors.

Could you highlight some of the most compelling startups operating in your city?
Notable startups include Payhere, Civic Dollars, and Konvi.

What characterizes the investment landscape in Belfast? What are the primary areas of investor interest?
Currently, Northern Ireland is experiencing a shortage of adequately resourced investors.

Considering the increasing prevalence of remote work, how do you anticipate this will impact Belfast’s population? Do you foresee an outflow of residents, an influx of new arrivals, or a combination of both?
Northern Ireland, and Belfast specifically, offers a remarkably appealing combination of affordable living and a high quality of life. The impact of COVID-19 is expected to drive a significant migration of individuals from high-cost cities like London, Manchester, and Dublin, with Belfast becoming a favored destination.

Who are the influential figures within your city’s startup ecosystem – including investors, founders, legal professionals, and designers?
Chris McClelland is a key individual to watch.

Looking ahead, what is your vision for the future of your city’s tech scene over the next five years?
We anticipate substantial growth and a thriving tech environment.

Fearghal Campbell, Founder of Pitchbooking

What are the prominent sectors within Belfast’s tech ecosystem? What generates the most enthusiasm, and where are the gaps?
The city demonstrates strength in cybersecurity, SaaS, and sportstech. A significant surge in pre-seed and seed-level companies over the last two to three years is particularly exciting. However, scaling up remains a challenge, with a relative scarcity of locally grown, large-scale companies.

There's a notable level of foreign direct investment, particularly from U.S.-based firms establishing a presence in the city.

Notable Startups in Belfast

Which startups in Belfast are currently generating the most interest?
Within the sportstech sector, teamfeepay.com is experiencing rapid growth. loyalBe, a seed-stage fintech company, is also noteworthy for its innovative approach to retail loyalty programs.

Established companies like Axial3D and Neurovalens, both in the medtech space, continue to achieve significant advancements.

Investment Landscape in Belfast

How would you characterize the tech investors in Belfast, and what are their primary areas of focus?
Belfast’s investment community comprises both angel investors and institutional firms. While a singular focus isn’t readily apparent, certain sectors benefit from the strengths of local universities.

Medtech and cybersecurity are particularly well-represented within the city’s startup ecosystem.

Remote Work and Belfast’s Future

How is the shift towards remote work impacting Belfast? Will it lead to population shifts, either inward or outward?
Belfast’s comparatively lower cost of living, relative to other U.K. cities, is attracting startups from larger metropolitan areas. Support systems designed for early-stage ventures have further fueled this trend.

The city is well-positioned to embrace a hybrid work model. Its compact size allows for easy commutes – traversing the city center on foot takes approximately 15 minutes – making office visits convenient.

Key Players in Belfast’s Startup Community

Who are the influential individuals and organizations supporting the startup scene in Belfast?

• Invest NI – The government agency providing support for businesses.
• Ignite NI – A seed-stage accelerator program.
• UlsterBank Accelerator – An accelerator focused on early-stage companies.
• Aurient Investments – An angel investment group with a diversified portfolio.

Looking Ahead: Belfast’s Tech Scene in Five Years

What is your vision for Belfast’s tech scene over the next five years?
I anticipate that the strongest seed-stage companies originating between 2017 and 2020 will mature into established entities within the local tech landscape.

This growth will complement the ongoing influx of foreign direct investment from international companies.

Jack Spargo, Co-founder & CEO, Gratsi

In what industries does your technological community excel? What developments generate the most enthusiasm? What areas require improvement?
The ecosystem demonstrates strength in fintech, agritech, hospitality technology, and nascent technologies.
The accessibility of support – encompassing financial assistance and mentorship – coupled with the reduced expenses associated with establishment and expansion, is particularly encouraging.

A primary challenge lies in the geographical limitations hindering connectivity with the broader UK and European Union markets.

Notable Startups in Belfast

Several startups are making significant strides within the city. These include loyalBe, Konvi, and Lane 44.

These companies represent the innovative spirit currently thriving in Belfast’s tech landscape.

Investment Landscape in Belfast

The tech investment community in Belfast is robust and supportive.

Accelerators like Ignite NI, Catalyst, Techstart, and Ormeau Baths play a crucial role in providing assistance and facilitating valuable introductions.

Investors demonstrate a keen interest in fostering growth and innovation within the local startup ecosystem.

The Impact of Remote Work

The rise of remote work is anticipated to attract individuals to Belfast.

The city’s comparatively low cost of living and existing infrastructure for remote operations make it an appealing destination.

An influx of new residents is more probable than an exodus of current ones.

Key Individuals Shaping Belfast’s Startup Scene

Several individuals are instrumental in driving the growth of Belfast’s startup community.

These include Chris McClelland and Ian Browne from Ignite NI, Mark Dowds of anthemis, and Cormac Quinn, founder of loyalBe.

Their contributions are vital to the continued success and development of the local tech sector.

Future Outlook for Belfast’s Tech Scene

The Belfast tech scene is poised for substantial growth in the coming years.

Within five years, it is projected to solidify its position as a leading technology hub within both the UK and the EU.

Brendan Digney, Founder of Machine Eye Technology

In what sectors does your technological environment excel? What developments generate the most enthusiasm? What areas require improvement? Agritech and construction technology represent sectors poised for substantial growth, especially within Ireland and Northern Ireland. These regions possess established expertise and a unique opportunity to drive innovation through the application of artificial intelligence and data analytics.

Could you highlight some of the most promising startups located in your city? Notable startups include Kairos Sports Tech, Budibase, Incisiv, and Automated Intelligence.

How would you characterize the venture capital landscape in Belfast? What are the primary investment priorities? A network of venture capital firms and funds operates in conjunction with Invest NI. Invest NI provides significant funding and support. Catalyst, a non-profit organization, arguably delivers the greatest value within the entire ecosystem. Investment is largely directed towards software and life sciences, though other funding sources are available. There's a pronounced emphasis on attracting foreign investment and supporting businesses relocating to the area.

Considering the increasing prevalence of remote work, what impact do you foresee on Belfast’s population? Will residents remain, relocate, or will new individuals be drawn to the city? A trend towards relocation to rural areas within a one-hour commute of the city is anticipated.

Who are the influential figures within Belfast’s startup community – encompassing investors, founders, legal professionals, and designers? Key organizations and individuals include Catalyst, Ormeau Baths, and Raise Ventures.

What is your vision for the future of Belfast’s tech sector over the next five years? The tech scene is expected to experience considerable expansion, with a notable increase in the number of companies reaching later stages of development.

Toyah Warnock, Co-Founder of Lane 44

What industries demonstrate strength within your technological ecosystem? What developments generate the most enthusiasm? What areas require improvement? Belfast is experiencing expansion as a center for innovative companies and investment prospects.

The city presents a dynamic environment for technological advancement.

Could you highlight some of the most promising startups located in your city? Companies such as Gratsi, 54 North Design, and Animal Manager are particularly noteworthy.

These ventures represent the innovative spirit of Belfast’s startup community.

How would you characterize the tech investment landscape in Belfast? What are the primary areas of investor interest? Investors in Belfast are largely focused on SaaS (Software as a Service) businesses.

This focus indicates a strong demand for scalable software solutions.

Considering the increasing prevalence of remote work, what impact do you foresee on Belfast’s population? Will residents remain, relocate, or will the city attract new inhabitants? The relatively low cost of living in Belfast is a significant draw.

Consequently, an influx of new residents is anticipated.

Who are the influential figures within Belfast’s startup community – including investors, founders, legal professionals, and designers? Ormeau Baths serves as a central hub for these key individuals and organizations.

It’s a focal point for networking and collaboration.

Looking ahead, what is your vision for Belfast’s tech scene over the next five years? Significant and accelerated growth is expected within the next five years.

Belfast is currently undergoing a process of urban renewal and development.

Are there any companies you would recommend for consideration in our global Startup Battlefield competition? Lane 44, Animal Manager, and Gratsi are all strong contenders.

These companies showcase the potential of Belfast’s tech ecosystem.

Alan Carson, CEO, Cloudsmith

In what industries does your technological community demonstrate particular strength? What developments are you anticipating with the greatest enthusiasm? What areas require further development?
The ecosystem excels in the fields of security, financial technology, and medical technology. Particular excitement surrounds the advancements being made in developer tools.

Could you identify some of the most promising startups located in your city?
Both Cloudsmith and Axial3D represent compelling examples of innovative companies.

How would you characterize the investment landscape for technology ventures in Belfast? What are the primary areas of investor interest?
While the investor community is relatively small, it is matched by a highly driven entrepreneurial spirit. Investment tends to concentrate on medtech and security-focused businesses.

Considering the increasing prevalence of remote work, what impact do you foresee on Belfast’s talent pool? Will individuals remain, relocate, or will the city attract new residents?
Predicting future trends is difficult. It’s likely a combination of all possibilities will occur.

Who are the pivotal figures within your city’s startup ecosystem – encompassing investors, founders, legal professionals, and designers?
Key organizations and individuals include Techstart Ventures, Ignite NI, Catalyst, Clarendon Co-Fund, Denis Murphy, Colm McGoldrick, and Alastair Bell.

What is your vision for the evolution of your city’s tech sector over the next five years?
The expectation is for substantial growth and continued improvement across all facets of the tech scene.

Are there any companies you would suggest for consideration in our global Startup Battlefield competition?
VideoFirst is a company worthy of consideration.