Post-Brexit, London has remained a significant hub for startups, driven by an extraordinary surge in climate tech innovation that is reshaping the city’s entrepreneurial landscape. Recent data from HSBC’s Innovation Banking and Dealroom highlights the impact, revealing that climate tech alone accounted for nearly 20% of total VC investments in the UK. This transformative wave is not only advancing pioneering companies in climate tech, but also propelling strides in areas these startups intersect with, such as fintech.
Similar to how Boston has built an ecosystem for successfully scaling cybersecurity and deep tech companies, London has a deeply established ecosystem that assists early-stage climate tech and fintech entrepreneurs with taking their ideas from minimal viable products to scale. While some economic headwinds remain as we kick off the new year, the prospects for these companies are far better than they were twelve months ago. Many of the most promising London startups are also riding the wave of AI demand by bringing to market some of the most innovative AI breakthroughs to rise to the top of both customer and investor lists.
Today, we’re shining the light on ten early-stage (Seed and Series A) B2B startups in London that we believe are on the cusp of breaking out in 2024 globally and warrant further watching. From climate tech and fintech to the latest AI innovations, these companies exemplify the city’s dynamic entrepreneurial spirit, poised to redefine industries and capture the imagination of investors and innovators alike.
Ai Build is at the forefront of transforming manufacturing through artificial intelligence. Having recently secured an $8.5 million Series A round led by IQ Capital, the company offers a cloud-based solution aimed at streamlining additive manufacturing processes, significantly reducing costs, lead times, and material waste. Partnering with industry giants like Boeing, Ai Build is making large-scale industrial applications more efficient and sustainable, with notable benefits including a 65% decrease in failed production attempts and a 90% increase in overall build efficiency.
Climate X is a global climate risk data analytics company, standing out as a key player in the climate tech space. Their Spectra platform leverages real-world satellite data and climate projections to create a comprehensive “digital twin-Earth” model. This model enables businesses, governments, and institutions to simulate the impact of climate change risks at an asset level, covering aspects like flooding, landslides, hurricanes, and more. With over 20 trillion data points, Climate X assigns risk ratings and quantifies data into a dollar value. This further empowers entities to make informed decisions, meet regulatory compliance, as well as build resiliency in the face of climate-related challenges.
Entocycle is at the forefront of sustainable agriculture, with a direct focus on efficient and scalable insect farming. In a groundbreaking move, the company has partnered with Bühler Group, a major processing technology company, to scale black soldier fly (BSF) production. This collaboration aims to convert organic waste into BSF larvae, a valuable source of protein for animal feed. Entocycle’s innovative technology reduces time to market for insect farming companies, providing expertise, equipment, and services to make insect farming a viable and sustainable solution.
Finverity is making waves in the fintech sector with its supply chain finance platform catering to mid-market companies. Having raised $5 million to expand its trade and supply chain finance technology last year, Finverity is set to increase its headcount and open offices in Dubai, Poland, and Kenya. The platform facilitates collaboration between companies seeking working capital and funders looking to deploy capital. With a 15X revenue growth across the Middle East and Africa, Finverity is poised to enhance its offerings, including trade finance and working capital products, in order to meet the rising demand in the market.
Greyparrot stands as an industry leader in waste analytics, driven by its AI waste analytics platform, Greyparrot Analyser. Recognized by global packaging producer Amcor as the latest Lift-Off program winner, Greyparrot utilizes artificial intelligence to track and report on material in recovery facilities. The London-based startup has raised $18M-plus to date to unlock new value for waste recovery facilities while decreasing the environmental impact of waste. The company is now analyzing more than 75 billion waste objects annually to help waste and recycling facilities direct nearly 70K tonnes of waste back into the circular economy.
Isometric is making significant strides in carbon removal with its innovative registry and science platform. Launching the Isometric Standard, the company sets stringent rules for carbon removals, aiming to bring transparency and confidence to the nascent carbon dioxide removal (CDR) industry. Isometric, founded in 2022, provides a technology platform for data reporting and verification, offering a public registry to instill confidence in the market.
Phasecraft, a quantum computing software developer, has secured £13 million in Series A funding to advance its quantum algorithms. Spun out of University College London and the University of Bristol, Phasecraft aims to achieve practical quantum advantage, where quantum computers outperform classical computers for real-world applications. The startup’s quantum algorithms are designed for the imperfect quantum computers of today. The recent funding round, led by Playground Global, positions Phasecraft at the forefront of quantum computing research, with the potential to revolutionize various industries.
Push Security has emerged as a key player in identity security, focusing on securing cloud identity attack surfaces. In a significant Series A raise of $15 million, led by Google Ventures, Push Security addresses the challenges introduced by the rapid adoption of SaaS platforms. The platform maps out and secures cloud identity attack surfaces, providing a user-centric approach to enhance security. With an emphasis on empowering employees to improve their security while using SaaS, Push Security has gained traction, attracting notable investors and expanding its user base.
RheEnergise is at the forefront of long-duration energy storage technology. Partnering with power generation company Colbún in Chile, RheEnergise aims to deploy its High-Density Hydro® (HD Hydro) system, a long-duration hydro-energy storage solution. The collaboration involves evaluating the feasibility of building a 10 MW, 10-hour HD Hydro system to complement Colbún’s existing portfolio of renewable energy projects. By addressing the intermittent nature of renewable energy, RheEnergise’s innovative approach holds the potential to shape the future of sustainable energy storage.
Soveren is making significant strides in data security posture management with its DSPM (Data Security Posture Management) platform. Founded in 2020, Soveren helps organizations observe and protect sensitive data in their application environments. The London-based startup, which raised $6.5 million in seed funding in 2021, automates the detection of privacy risks to assist organizations in complying with GDPR and CCPA. By analyzing real-time data flows, Soveren enables CTOs and CISOs to recognize and address privacy gaps, contributing to improved data security and regulatory compliance.
As London solidifies its position as a top hub for B2B innovation, these ten startups stand out for their pioneering efforts across diverse sectors. From climate tech to fintech, these companies showcase the dynamic and transformative nature of London’s startup ecosystem.