Innovate Finance is working with the 36H Group to aggregate data around alternative lenders and state-backed lending schemes to show the role fintechs have played during the Covid-19 crisis.
Janine Hirt, chief executive of Innovate Finance, said the fintech trade body has been meeting with various government departments that are taking note of the sector’s significance.
She said Innovate Finance has been working with the 36H Group and the All-Party Parliamentary Group on Fair Business Banking on its enquiry into financing and capitalising the UK’s small- and medium-sized enterprises (SMEs).
“In May, we held a roundtable with fintech SME lenders with Kevin Hollinrake MP, to explore some of these issues further,” Hirt said in an email update to members.
“We are also aggregating data around alternative lenders and coronavirus business interruption loan scheme and bounce back loan scheme to showcase the powerful role fintechs played in supporting SMEs through the Covid crisis.
“We are focused on ensuring fintech is recognised as a key soft and hard power tool for the UK and Global Britain. I have had numerous positive conversations over the past few weeks with various government departments, including the Prime Minister’s business unit, the department for digital, culture, media and sport, the department for international trade and HM Treasury, all of which have affirmed their enthusiasm for our thriving fintech sector.
“There has been a growing realisation of the important role the sector has played, and will continue to play, in helping us navigate through the pandemic and build back better.”
Hirt said she was recently invited to join the government’s Financial Services Brexit Business Task Force, which focuses on regulatory opportunities for a competitive post-Brexit business environment.
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She said that it was an ideal opportunity to “emphasise the central role of financial innovation in promoting the country as a force for good and sustainable economic development”.
Hirt said Innovate Finance continues to work on delivering the Kalifa Review recommendations and has held several initial investor start-up speed dating sessions this past year, resulting in over $40m (£29m) of deals.
She added that the trade body has been sourcing and communicating feedback to the City regulator on its fintech scalebox and over the past few months has been working with other industry bodies to development a digital ID scheme for the UK.
“The implementation of an effective digital identity infrastructure and trust framework will enable far greater access not just to public services but also banking, payments and digital services,” Hirt said in the update.
“It will better enable the provision of services to those who are at times excluded from the current system, and provide more efficient ways for consumers and businesses to access financial services.”