Fewer deals, bigger bets: Europe’s venture market resets in Q1 2026
Funding climbs to €20.2 billion despite declining deal count, with mega-rounds, the UK, and cloud and AI capturing an outsized share of capital.
In Q1 2026, the venture market reflects a shift toward greater discipline rather than contraction.
The number of deals declined to 855 from 912 in Q1 2025 (down 6.3 per cent), while total funding increased to €20.2 billion from €18.4 billion (up 9.8 per cent), indicating a more focused investment approach, with capital concentrated into fewer deals and average deal sizes rising by around 17 per cent.
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