INVESTMENT in UK fintech hit an 18-month high in June, research suggests.
Data from the latest KPMG Pulse of Fintech report shows investment in UK fintech during the second quarter of 2017 was worth $1.4bn (£1.1bn), up from $0.1bn year-on-year and $1bn more than in the first quarter.
The value was boosted by Mastercard’s purchase of payments system Vocalink for $920m in May.
However, the number of deals in the UK dropped from 47 to 36.
The report also cites Zopa’s banking license application as the “logical next step” for maturing fintechs.
Globally, the fintech market saw total investment more than double on a quarterly basis to more than $8.4bn.
“Fintech investment has made a comeback this quarter particularly in the US and Europe,”
Murray Raisbeck, global head of fintech, said.
“However, the outlook for the UK is especially exciting as we wait to see just how much innovation Brexit will drive.
“As banks, insurers and asset managers reassess their business models, they will need innovative tech solutions for everything from establishing a new office to engaging with staff and customers.”