FinTech Investment Landscape 2024The UK has been a global leader in FinTech for the past decade, repeatedly securing more investment than anywhere else in the world bar the United States.

Investment into UK FinTech has funded market-leading companies, products and services that are creating a more inclusive, democratic and dynamic financial services sector.

Despite such growth and success, the UK and broader international FinTech sector is not immune from the wider patterns of investment markets. Following a peak in investment in the first half of 2022, capital deployed into FinTech has been falling globally year on year. This pattern is consistent with venture capital investment across all sectors, as well as the IPO market.

Global investment has been experiencing a cyclical malaise caused by economic factors arising from the Covid pandemic and geopolitical instability. Historically, most investment markets have been cyclical; they also require some economic and/or political changes as the catalyst for the next market upturn.

The question of course on everyone’s mind is: have we reached the bottom yet? When will we start to see the upturn?

Here are the key headlines from our FinTech Investment Landscape 2024:

• Global FinTech investment fell 20% to $43bn in 2024 compared to 2023
• UK FinTech investment fell 37% to $3.6bn in 2024 compared to 2023
• The UK maintains its FinTech investment leadership position as second globally and first in Europe, attracting more capital than anywhere else in the world other than the United States, and more capital than the next 5 European countries combined.

This report provides the numbers and analysis behind the headlines, takes a deeper dive into the latest investment trends in global and UK FinTech, and offers an outlook for 2025. The analysis benefits from input and observations from Innovate Finance’s investor and VC members.

Read the full article here.