How to close the gender gap in Scotland’s tech economy

Scotland’s tech sector is brimming with potential. From AI breakthroughs in Aberdeen to fintech ventures in Edinburgh, the ecosystem is dynamic, ambitious and vital to our economy.

But amid this progress, there is an issue that remains stubbornly unresolved: too few women are leading, growing and scaling tech businesses.

This isn’t a new challenge, but it’s becoming more urgent.

We need to rethink how we support women in the technology sector (Picture: stock.adobe.com)

Mind the investment gap

The numbers speak volumes. According to the UK Government’s Invest in Women Taskforce, in 2024 all-female founded businesses received just 1.8 per cent of all UK venture capital funding, down from 2.5 per cent in 2023. That’s not just an equity gap, it’s an innovation gap. When women are excluded, there is less diversity of experience and opinion around the table, stifling potential and slowing progress.

This exclusion is even more pronounced in the tech sector, which is rapidly reshaping how businesses operate. According to the World Bank, women hold less than a third of all tech roles in the UK. At the top, the gap widens further: fewer than one in ten CIOs or CTOs are women, according to the WomenTech Network. The lack of representation matters, especially in Scotland, where our latest Private Enterprise Barometer shows over half (52 per cent) of firms see technology as critical to their future success and 70 per cent plan to invest in AI.

If the tech-start up community continues to be male-dominated, then we risk reinforcing old biases with new tools. If we’re serious about building a fairer, more future-ready economy with innovations like AI, we need to ask: who gets to lead the revolution?

Amy Burnett, KPMG Emerging Giants Lead – Scotland (Picture: Mike Wilkinson)

Inclusive innovation is smart economics

Women must be at the forefront of that change. Unlocking the full potential of this tech revolution means rethinking how we support women in tech – creating platforms that not only welcome them but actively champion their success.

The barriers are well-known: access to capital, smaller networks, less visibility. But they’re not insurmountable. With the right support – accelerators, investor networks, mentoring – they can be broken down.

Talent, too, is critical. With 55 per cent of Scottish firms confident they can recruit the tech talent they need, we’re in a strong position. But building a competitive sector isn’t just about hiring. It’s about creating pathways for progression and ensuring women have the tools and backing to lead.

Initiatives like ‘Founded by Her’ are part of the solution. We created it to support women founders through tailored advice, investment readiness training and access to a powerful network of peers, advisors, investors and founders. We have had 35 exceptional women founders participate in the Series A prep programme, and the next cohort opens for applications in October.

The Scottish Government’s ‘Pathways: A New Approach for Women in Entrepreneurship’ initiative is another important step. By addressing the structural barriers facing women in enterprise and putting forward clear recommendations for change, it’s a sign that public policy is working to align with the needs of female founders across sectors, including those in tech.

Ultimately championing women in tech will help Scottish businesses to achieve their growth potential. Our latest Barometer also found that 90 per cent are optimistic about their growth prospects this year, while over a third (35 per cent) are introducing new products and services. Technology will be at the heart of these strategies.

That’s why we urgently need to rethink how we fund, support and shine a light on women founders.

Because closing the gender gap isn’t just the right thing to do, it’s how we future-proof Scotland’s tech economy.

Amy Burnett, KPMG Emerging Giants Lead – Scotland