The UK fintech sector received record levels of investment last year despite a global slowdown.
A report from fintech trade body Innovate Finance shows the UK was the top-ranking investment destination in Europe and second globally with venture capital and private equity investment growing 38 per cent annually to a new record of $4.9bn (£3.75bn).
This was despite a nine per cent decline in deals in the UK to 359.
London remains the incumbent centre of investment receiving 88 per cent of investment and 78 per cent of all deals in the UK.
Female-led fintech businesses received 10 per cent of all investment and 11 per cent of deals in 2019.
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Globally, investment in fintech decreased 28 per cent in 2019 to $35.7bn, which the report attributed to a sharp fall in funding to Chinese fintechs.
The number of deals globally also decreased by 17 per cent to 2,827.
The United States led global fintech investment with $16.3bn raised across 1,095 deals in 2019, up 23 per cent annually.
“(London) is a world-leading fintech hub, and as the figures reveal, the epicentre of fintech in Europe – all of which is a testament to the fact that the UK is a leading destination to start and scale a fintech business,” Charlotte Crosswell, chief executive of Innovate Finance said.
“The missing piece of the puzzle is ensuring we are also boosting female-led companies, and providing the capital to this area of the market.
“There’s no excuse for investors to be overlooking female founders, and as a collective we must do more to better to ensure long-term success and growth of the sector.”
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