Brent Hoberman on UK tech post-Starmer: 'Are we going to tax everyone to high hell?'

2026-06-25 · Source: Sifted · Field: Business & Management — Entrepreneurship & Start-ups, Corporate Strategy & Leadership, Human Resources & Workforce Development · Depth: Novice, extended

Summary

On June 25, 2026, serial entrepreneur and investor Brent Hoberman discussed the UK tech landscape following Keir Starmer's resignation and the potential socialist policies of incoming Prime Minister Andy Burnham. Hoberman, co-founder of Lastminute.com (1998) and Made.com (2010), expressed concern over political instability and potential tax increases deterring innovators. He highlighted the rising ambition at London Tech Week, noting the strength of European AI talent and the need for European corporates and governments to procure from local startups. Hoberman also shared his evolving view on "LLM wrapper" companies, citing Granola's over \$1 billion valuation, and discussed sovereign AI plays like Mistral. He emphasized the importance of fostering a risk-taking culture, attracting talent, and addressing capital market challenges, including the need for better second-order impact modeling by the Treasury and policies like capital recycling.

Key takeaway

For investors and entrepreneurs navigating the UK tech landscape, be acutely aware of political shifts, particularly potential changes in tax and growth policies under new leadership. These could significantly impact the environment for innovation, talent attraction, and capital formation. Focus your investments on companies demonstrating strong teams and clear moats in AI, while actively engaging with initiatives like Enterprise Britain to advocate for pro-business government policies that foster a risk-taking culture and support long-term growth, rather than short-term fiscal gains.

Key insights

UK tech's growth is challenged by political uncertainty and a risk-averse culture, despite strong AI talent, requiring policy shifts to foster ambition and capital.

Principles

• Team quality often outweighs initial market size for startup success.
• Government procurement from local startups is crucial for ecosystem growth.
• Capital recycling policies can significantly boost entrepreneurial investment.

In practice

• Prioritize team strength over initial market size in early-stage investing.
• Advocate for policies that reward risk-taking and attract global talent.
• Explore industrial AI and physical AI for disruptive applications.

Topics

• UK Tech Policy
• Venture Capital
• AI Investment
• Entrepreneurship
• Political Risk
• Startup Ecosystem
• Capital Markets

Best for: Entrepreneur, Investor, Consultant

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Editorial summary, takeaway, and curation by AIssential. Original article published by Sifted.