New figures reveal that the º£½ÇÊÓƵ's fintech sector trailed only the US in total investment last year, despite a significant decline in funding compared to 2023 levels.
While global fintech investment decreased by 20% to $43.5bn (£35.2bn), the º£½ÇÊÓƵ secured $3.6bn (£2.9bn) in funding, surpassing the combined total of the next five European countries, data from Innovate Finance shows, as reported by .
Despite the downturn in new capital, industry experts anticipate a rebound in 2025. "When we've been speaking with investors, they're positive about 2025," Janine Hirt, CEO of Innovate Finance, commented to City AM.
"There was a bit of dry powder there waiting, and now going forward, there's a lot more clarity as we're in a post-Budget, post Mansion House environment. There is certainty around the government, both here and in the US. "
Although the º£½ÇÊÓƵ maintained its second-place position globally, its funding decline outpaced the worldwide average, closely followed by India, which reported $2.2bn (£1.8bn) in fintech investments for the year. In 2024, major º£½ÇÊÓƵ deals included a $621m funding round for Monzo and $267m for Zepz.
However, female-led fintechs experienced a stark 78% drop in investment, garnering just $120m (£97m), or 3.3% of all º£½ÇÊÓƵ funding. "It is a clear indication that we need to be doing more, because that is a hugely disappointing number, and we have to take action to try and increase that," Hirt stated.
Elsewhere in Europe, France secured $1.1bn (£891m), re-entering the global top 10, while Germany followed closely with a total of $900m (£729m).
