London continues to, despite Brexit, hold its ground as one of the top cities for financial technology firms in Europe – and the world – with £825m in investment going to UK fintech companies so far this year, according to research from London & Partners.
How has Brexit affected London’s Fintech Scene so far?
Last year, investors were put off committing and investing into London firms due to the uncertainty of the financial and business scene. It saw funding for UK Fintech start-ups drop by over a third. However, this year has showed strong promise for the Fintech industry and the overall landscape of British business - with the potential for a record year of investments.
London’s place in the World of Fintech
London, over the past five years, has become the fourth best city in the world for capital investment in the fintech industry, and number one in Europe. In fact, firms in London have raised almost five times more than the closest rival, Stockholm, in early-stage funding.
There seems to be no shortage of companies who are looking to build offices and move headquarters in the UK’s capital city. This demonstrates that the potential effects of Brexit may not directly relate to what has made London Europe’s fintech capital, which according to Innovate Finance, is down to the forward-thinking and collaborative effort of the FCA’s regulatory regime.
London's finest Fintech firms
Revolut and Onfindo have joined a mayoral trade mission to the Money 20/20 conference over in Las Vegas, along with another 10 of London’s most rapidly growing fintech companies. This only goes to show that the rest of the world has a high interest in how London’s fintech companies are continuing to grow in a post-referendum United Kingdom.
Will London’s Fintech continue to strive post-Brexit?
It’s unclear whether we’ll see investments into fintech companies slow down come 2019, however, there’s a lot of optimism going forward at this rate, hence the current huge investments that investors are putting into the capital.
But at this point, it is looking good for the future of fintech firms in London.
For further reading please see: https://www.standard.co.uk/business/fintech-funds-hit-record-in-london-fillip-despite-brexit-a3662896.html