06 November 2025

Key learnings from VocTech market activity: Q3 2025

Two young professionals working together using a laptop and computer screen.

Ufi Ventures and Tyton Partners explore the Q3+ 2025 trends shaping vocational learning and workforce development across the UK, Europe, and North America.

This quarter we extended our coverage in response to the significant UK policy developments in the sector during October. The report discusses the continued intensity of relevant US government announcements, growing concerns around an ‘AI bubble’, and, whilst deal volumes were low, significant investments and deals occurred across the ecosystem.

Five key takeaways from our Q3 2025 report:

The UK government published a major White Paper which provides a clear sense of direction for vocational training and workforce upskilling in England, and for university funding across the UK. Whilst there is still considerable detail and consultation to come, this offers an encouraging basis for investment decisions.
There is much angst about why – and whether or not – there is a crisis in the graduate job market across the UK and US. AI appears only to be part of the picture, given the very high levels of uncertainty and unpredictability across the ecosystem.
The Trump administration’s policies on immigration are starting to have negative effects on some domestic labour markets and US Higher Education.
Big Tech’s commitment to learning in AI products is becoming even more apparent.
A rare European unicorn exit, Sana Labs’ sale to Workday, is only one indicator of the established enterprise-focussed HR Tech companies’ desire to own the “front door” for HR applications – and automate them with a user-friendly AI interface.