UK Fintech Start-Ups Set for Record Breaking 2017
There's been massive news in the tech industry this week, specifically fintech (Financial technology). Fintech startups in the UK are well on course to hit record-breaking investment for 2017. This has surprised many after the June vote to leave the European Union.
London & Partners recently released data that thwarted almost all concerns surrounding the effect of Brexit on fintech start-ups. They stated that "Despite the UK’s decision to leave the European Union, VCs have pumped more than £1.1 billion into London’s tech sector over the last six months with the total invested across the UK as a whole topping £1.3 billion between January and June."
The investments are coming in thick and fast, and they're certainly not small. More data from London & Partners are showing mass amounts of money invested in a range of start-ups from the virtual reality start-up Improbable (£388m) and London-based fintech companies Funding Circle (£82m), Zopa (£32m) and Monzo (£22m). Despite Brexit, London hasn't lost its position as a 'heavyweight' global competitor in fintech, and is continuing to prove itself time and time again, even in a seemingly uncertain future.
Big league investors have paid out £825 million into fintech start-ups in the UK since the start of 2017. Reuters reported that this is "double the amount seen in the same period last year" and that " "London attracted 90 percent of that investment, and over the past five years has pulled in more than five times the amount of any other European city, the research found." Fintech has taken massive strides in the UK, from chip and pin becoming a thing of the past due to contactless payment, as well as online sales at an all-time high due to the advancements in fintech, there's no denying that these investments have great potential to revolutionise the way we pay in just a matter of years.
It's become very clear that fintech start-ups won't be going anywhere anytime soon and, in fact, will almost certainly thrive! And we can't wait to see what these brilliant start-ups have in store for us in the next few years, they've already broken the mould, and with all this extra cash, the sky is the limit!
Did you expect fintech startups to thrive? Or were these investments inevitable?
Let us know!