London tops venture capital poll

Analysts Library House revealed that London has the most venture-backed companies and the highest amount of venture capital committed to these enterprises, ahead of its closest rival Paris.

The research also noted that although most venture capital in a city is invested in sector-specific "clusters", the size of London's resources and population means that it can support several of these clusters.

However, another UK city also appears in the venture capital cluster top 10, among competitors such as Tel Aviv and Helsinki.

Cambridge is ninth in terms of the number of the venture-backed companies, and sixth in terms of the value of this investment, according to the research.

A statement from the analysts explains: "Cambridge is well known for particular strengths in biotech, owing in large part to the world-class scientific research spinning out of the university.

Last year, businessweekly.co.uk reported that a new £35 million venture capital firm, IQ Capital Partners, was founded in Cambridge to invest in cutting-edge technology at the early stages of development.