UK leads the way for Financial Technology (fintech) services says new research
UK Trade & Investment (UKTI) has published a report that sets out the strengths of the UK’s fintech sector and the market opportunities for fintech companies.
The publication ‘Fintech: The UK’s Unique Environment for Growth’ gives an overview of why the UK is a unique location for companies specialising in technology applied to financial services (also known as fintech).
Sue Langley, Chief Executive Officer of the UKTI Financial Services Organisation says:
The UK is fast becoming the destination of choice for any fintech company. The UK government is committed to supporting fintech companies. The new publication articulates the UK’s unique market opportunity making it clear why any fintech company should set up in the UK.
UKTI has also published independent research that suggests that the fintech market in payments, platforms, software and data analytics is worth £20 billion to the UK annually.
The research was commissioned by UKTI and carried out by EY (Ernst & Young). EY has for the first time mapped out the opportunities and strengths of the UK’s fintech sector by speaking to existing investors.
New industry trade body – Innovate Finance
The reports have been published to coincide with the launch of new fintech industry trade body, Innovate Finance, by the Chancellor of the Exchequer, Rt Hon George Osborne MP at Level39 today.
Innovate Finance is a new industry organisation that aims to accelerate the UK’s leading position in the global financial services sector. It will support young or established technology-led financial services innovators.
Since 2008, the value of fintech investment in the UK and Ireland region has increased almost 8 times to US$265 million in 2013. This makes the UK and Ireland the fastest growing regions for fintech investment globally.
The UK’s strengths in fintech are due to:
- London’s position as a world leading centre for financial services
- Edinburgh, Belfast, Leeds, Manchester, Birmingham and Cardiff all have strong financial services sectors
- good availability of business capital
- a supportive regulatory structure
Opportunity for overseas businesses
There are big opportunities for overseas companies looking to invest in the UK’s growing Fintech industry. This includes setting up business operations in the UK.
About 1.1 million people work in financial services in the UK, with two thirds of those employed outside London. Overseas companies investing in the UK will be able to find highly qualified and experienced staff.
A wide range of financial support is also available for fintech businesses in the UK.
Start-ups or early stage companies can also benefit from setting up in the UK. Tech City (London) attracted more than 15,000 new companies in the year to April 2013.
Contact UKTI Financial Services Organisation (UKTI FSO)
UKTI FSO support companies in the financial and related professional and business services industry. They can help:
- overseas companies locate to the UK
- UK based companies grow their business through international trade