Hello Sifted reader,

For the last decade, the UK has led the pack in Europe when it comes to the size of its tech ecosystem.

But after a string of recent policy changes, experts fear it’s at risk of losing its lead. And it comes as, over the Channel, Macron's pro-tech push is paying dividends.

So what's gone wrong? And how do founders think it can get back on track?

— Sadia Nowshin

A MESSAGE FROM OUR SPONSOR MORGAN STANLEY

An accelerator designed specifically for women and ethnic minority founders

Underrepresented founders can find valuable expertise, connections and finance through Morgan Stanley’s Inclusive Ventures Lab.

Apply now

🤑 Quantum startups: mapped. Europe has more than 147 startups working with quantum technologies — here's what they do, and who's at the helm.

💸 Kry heads for 2023 profitability. After eight years of losses, the digital care startup's new strategy could put it in the black.

🎓 The OpenAI flywheel. Alumni from the Silicon Valley-based AI star have come home to Europe to build — here's who they are, and what they're working on.

💳 The neobank popularity contest. It's been a decade since the likes of digital banks N26, Monzo and Revolut set up a skirmish with legacy incumbents — but who's come out on top in the race for customers?

✂️ The SaaS tools startups are sacking off. In the midst of the downturn, which teams are scaling down their software — and which products are being axed the most?

🔥 How to keep the cofounder spark alive. Just like with any relationship, the bond between founders requires effort to stay productive and healthy.

🔐 Cybersecurity startups to watch, according to VCs.

🤔 Want to break into VC? These nine training programmes are teaching aspiring investors exactly that.

🇫🇷 Who made the French Tech Next 40? The government support programme has shared the companies that have qualified for its latest cohort — startups include fintech Spendesk, Gen Z social platform Yubo and carpooling marketplace BlaBlaCar.

💰 Series B+

Denmark-based Hemab, which develops treatment for bleeding and thrombosis disorders, has secured a $135m round led by Access Biotechnology.

💰 Series A

Swedish climate intelligence platform CarbonCloud, which helps brands calculate and reduce their carbon footprint, has raised €7.5m led by Cusp Capital and Peak.
UK-based fitness gaming developer Quell has raised $10m led by Tencent.
AI-powered airport management software provider AeroCloud has drummed up $12.6m.

💰 Pre-seed + seed

Romanian online children's coding school Bloomcoding has closed a €1m round from Credo Ventures, Inovo VC and u.ventures.
Romanian Business data platform Veridion (formerly Soleadify) has raised $6m from the likes of OTB Ventures.
Spain's Zymvol, which develops industrial enzymes to use across a range of sectors, has secured €1.3m.

💰 Undisclosed

The UK's Quantum Motion has raised £42m — the country's largest quantum round — to develop its silicon-based technology.
UK-based green hydrogen startup GeoPure has raised £36m from the likes of GM Ventures — the investment arm of General Motors' — Barclays Sustainable Impact Capital and Siemens Energy Ventures.

Thinking about a new role? Check out these jobs:

1. Senior software engineer. Scaling unicorn TravelPerk is looking for a senior software engineer with extensive programming experience to work in London. Apply here.

2. Programme manager. Account-to-account payments company GoCardless is hiring a programme manager to work with all its compliance managers. Apply here.

3. Business development manager. Irish video game company Keywords Studios is on the lookout for a business development manager to develop new business sales. Apply here.