After a period of steady build-up, momentum in the UK GovTech sector is accelerating.

In our latest technology report, we explore how public sector transformation, digitalisation, and AI are creating new opportunities for technology businesses and investors.

Government reform, increased adoption of cloud and as-a-service models, and a surge in demand for data-driven automation are reshaping the landscape.

Key market trends include:
• Cloud-native SaaS platforms driving efficiency and transparency
• AI, automation and data analytics for public services
• Cybersecurity and digital resilience
• Government and procurement reform

Despite wider economic headwinds, M&A activity remains resilient as strategic buyers and investors seek scale, capability and long-term contract stability.

Paris McNicol-Outch, Associate Director, Technology M&A Advisory at Cavendish commented:

“The UK GovTech sector is modernising public services through digitalisation, AI and advanced technologies. This report explores how that transformation is creating new markets for innovative tech companies and where the next wave of value creation will come from.”