London remains the leading fintech investment hub despite the global fintech investment decrease #
Global fintech investment decreased by 30% compared to 2021. According to the Innovate Finance research, the total investment into the fintech industry in 2022 reached $92billion globally, which is 30% lower than in the 2021. Last year, total investment amounted to $130billion.
Not only that, but the number of total deals has also faced a significant decrease. Compared to 6,146 deals last year, in 2022 the number was nearly a thousand lower, reaching 5,263.
Compared to the previous year, UK fintech total investment is 8% lower, amounting to $12.5 billion. The drop is much smaller than the majority of other fintech hubs so Innovate Finance assesses that London is still the leading fintech investment hub.
What happened in other countries:
- China’s investment drop reached 65%
- France have jumped in global investment rating from 11th place to 6th
- Singapore recorded the 41% increase in investment compared to 2021
The year 2022 for the UK was challenging as for other European countries, however the United Kingdom still remains steady on the leading positions.
Janine Hirt, the CEO of Innovate Finance, claimed that the “UK FinTechs are holding the fort in securing great levels of investment in challenging economic times, a testament to the resilience and strength of our sector”.
She says that “the UK is still receiving more investment in fintech than all of the next ten European countries combined”, and the only country in the world to win over the UK is the United States.
Paul Scully assessed that the focus will shift to supporting start-ups and boosting digital skills in an attempt to remain in the leading position and make the country a “more attractive destination to found, grow and invest in tech business” in the year 2023.