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£63 Billion Lost: Why Tech’s Diversity Problem Is Everyone’s Problem

Hey there👋

UK Tech Is Booming But It's Leaking Talent

The UK tech sector is a global powerhouse, worth over $1.1 trillion. It's where innovation meets opportunity, driving jobs, investment, and international clout.

But under the hood? We’ve got a serious leak.

🔧 Imagine a high-performance engine, steadily losing fuel.

That’s our tech industry today. The problem? A deep and growing diversity crisis. And it’s not just a moral issue, it’s economic.

Companies lacking gender and ethnic diversity are 66% less likely to perform well. And the digital skills gap alone is costing the UK £63 billion a year.

🛠️ The Leaky Pipeline: Talent In, Talent Gone

We’re doing something right getting diverse talent through the door.

But they’re not staying.

Mid-career professionals and aspiring leaders are slipping away, not for better jobs, but because of unfairness, biased management, stereotypes, harassment, and a lack of support.

📉 Who’s Falling Through the Cracks?

Here’s what the numbers say:

  • Women make up just 21% of tech teams. One in three plans to leave, citing poor progression and toxic culture.

  • Ethnic minorities = 25% of the workforce, but only 14% in senior roles. For Black women: just 0.07%.

  • Lower-income backgrounds? Only 9% of tech workers.

  • Disabled and neurodivergent technologists: Huge gaps between self-identification and employer reporting.

  • LGBTQI+ professionals? Still hesitant to be visible due to fear of discrimination.

  • Over 50s? Almost invisible in the tech space.

💸 Founders Left Behind

The start-up scene may be booming, but it’s not for everyone.

  • Only 2% of VC investment goes to female and ethnic minority-led startups.

  • In 2022, 92% of angel funding went to all-white teams.

  • VC firms? 71% of partners were privately educated.

🎓 Are We Preparing for Tomorrow?

Many tech jobs still demand degrees. But access to computer science education is unequal. Financial hurdles, inflexible courses, and unclear career paths keep underrepresented talent out.

Meanwhile, businesses aren’t sure what “AI-ready” even means.

🛠️ So What Can We Do About It?

The good news? We know what works.

Let’s turn insight into action:

 Make leaders accountable
Tie DEI goals to performance and pay. Public contracts can reward inclusivity.

 Create clear career maps
Especially for non-traditional routes. Everyone deserves to see the path ahead.

 Partner across sectors
Private, public, and non-profit orgs need to build together.

 Audit AI for bias
If machines are making decisions, we better be sure they’re fair.

 Normalise flexibility
Promote part-time and hybrid roles loudly and proudly.

 Fund diverse founders
Expand programs like Innovate UK’s Women in Innovation.

 Standardise skills
National frameworks like SFIA or DDAT give clarity to employers and job seekers.

 Support lifelong learning
Flexible, modular programs with financial transparency.

 Build smarter boards
Mandate digital fluency at the top.

🔍 One Final Question

What’s one thing you can do to build a fairer, more inclusive tech industry?

Big change starts with small action. We’ve got the tools but we just need the will.

📨 Until Next Time,

Thanks for reading.

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