What is Local Digital Capital and why is it important?

10 Mar 2021 02:42 PM

Local Digital Capital describes the building blocks of strong technology ecosystems. High levels of local digital capital allow for the development of strong clusters that deliver growth and better digital services to communities across the UK.

techUK developed the concept of Local Digital Capital from seven dialogues held over the second half of 2020. These dialogues took place across the four UK nations of Scotland, Wales, Northern Ireland, and England, including four English regions: The North East, West Midlands, Yorkshire and the Humber, and North West.

These dialogues included more than 260 local businesses, local and devolved government officials, local tech sector representatives, and start-ups, to better understand how the tech sector can help the economic recovery across the UK, solve local problems, and ensure that UK wide, national, and local policy is fit for purpose, reflecting local priorities and experiences.

Following on from those conversations, techUK released eight reports – one UK-wide report, and one from each of the devolved nations or regions: the North East, West Midlands, Scotland, Yorkshire and the Humber, North West, Wales, and Northern Ireland. Each report examined the state of Local Digital Capital in that particular nation or region, and how to strengthen each aspect of Local Digital Capital to support a return to growth.

Local Digital Capital is comprised of the eight inputs that make up a local tech ecosystem, that when taken in aggregate, can build, sustain, and grow a local tech ecosystem that enables citizens, companies, and the public sector to interact and work together more effectively, improving both economic and social outcomes.

The eight components of Local Digital Capital