The Mayor of London has announced new research which indicates that London is a world
leader in financial technology (FinTech). He revealed the figures while attending an event
in Singapore to showcase London’s FinTech sector as part of a six day trade mission to the
Far East to create jobs, growth and promote London.
The data compiled by London & Partners, the Mayor’s promotional company, show a record
amount of venture capital investment is being made into London-based FinTech firms. So far
this year companies have attracted more than US$539 million – triple the amount raised in
2013 – and an amount representing more than half of all FinTech investment across Europe.
Further research commissioned by London & Partners shows that more than half (56 per
cent) of senior executives and above surveyed in Britain’s financial services believe
London is best placed globally to lead FinTech innovation, ahead of New York (3 per cent),
Hong Kong (4 per cent) and San Francisco (8 per cent), with London’s position as a global
trading hub cited as the key reason by those who thought the capital is best placed (85
per cent), followed by the close proximity of financial and technology businesses in
London (62 per cent).
The Mayor of London, Boris Johnson, said: “London has always been at the forefront of
financial innovation and now our financiers are leading another global revolution, this
time driven by technological innovations that are changing the way the world does
business, creating new jobs and economic growth both in the UK, and in the other financial
centres of the world.”
The UK FinTech market is currently worth GBP20 billion in annual revenue and growing
according to EY, and London is now the world’s largest centre for financial technology,
with 44,000 people working in the sector – more than both Silicon Valley and New York,
according to research by South Mountain Economics.
Claire Cockerton, CEO of Innovate Finance -the UK trade-body representing the FinTech
sector – and technology ambassador for the Mayor of London, said: “The increased
investment in Britain’s FinTech community is fostering innovations that are shaping the
future of the global financial services industry. The best talent in the world is being
drawn to this rich landscape and setting up FinTech startups that are investment-ready and
have high growth potential.”