The UK fintech industry continues to thrive, even with the pandemic’s levelling off of intense investment in startups. In 2021, the industry managed to attract a record £9.5bn in investment, nearly half of all investments in Europe. London has surpassed both San Francisco and New York, gaining the largest slice of the VC pie, and the UK ranks third globally in venture capital invested in fintech, with China and the US being its main contenders. With the tech ecosystem estimated to be worth in the region of £257bn, the UK has produced some of the world’s largest and most successful fintechs like Monzo, Starling Bank and Zilch UK.
The success can be attributed to adoption rates among consumers; the UK has one of the highest globally at 42%, compared to the average which is 33%. Additionally, 93% of banking customers turned to online banking in 2022. Besides, the government has also played its part in bolstering the fintech field and suggested strategies to ensure the UK maintains its position as an opportune location to create and grow a fintech business.
Treecard, based on the commitment of Gen Z to sustainability and climate action, allows users to donate the interest earned on deposits to a climate cause. It also plants trees on their behalf for every 10,000 steps walked and payments made via the Treecard app. Meanwhile, SuperFi consolidates users’ credit cards, overdrafts and outstanding BNPL payments in one place, helping them calculate the fastest way to repay and get out of debt faster. Kani, based in Newcastle, brings debt consolidation to the B2B market, where its software reconciles weeks of transaction reporting in seconds.
Carbonplace enables secure and efficient transactions for the carbon market via blockchain technology, fundamentally changing how carbon credits are traded to bring price transparency to the market. Finally, Fidel API captures purchase information in real-time, unlocking the full potential of payment cards with its suite of financial infrastructure APIs and solutions, including digital receipts, loyalty and rewards schemes, and personal financial management. Launched in 2018 and headquartered in London, the company is backed by investors like Bain Capital Ventures, NYCA Partners, QED Investors, Citi Ventures, RBC Ventures, and Commerce Ventures.
