On 20 July, John Glen, the Economic Secretary to the Treasury, announced a review into the UK’s financial technology industry. Designed to identify opportunities to support growth in a sector estimated to be worth around £7 billion to the economy and which employs nearly 60,000 people across the UK, the review is very welcome news.
The ‘Fintech Strategic Review’ will be independently led by Ron Kalifa OBE, former CEO of Worldpay. It aims to ensure the UK fintech industry has the right resources to continue to grow and to enable the widespread adoption of financial technology.
Fintech services have experienced a boom in recent years in the UK, thanks in part to government support for entrepreneurship and innovation. The industry attracted £4.1bn in venture capital in 2019, and is estimated to have grown by nearly 70% since 2015. However, there is still much more potential for the sector to realise.
In particular, the fintech sector has a huge role to play in helping to boost the economy post-COVID-19 and post-Brexit. As John Glen himself says, the UK is one of the leading places in the world to start and grow a fintech firm, and this review should help ensure this continues.
The review will consist of five core work-streams, which will provide recommendations on:
- Skills and talent
- National connectivity
- International attractiveness
A report into the review’s findings is due to be delivered at the start of 2021, and its terms of reference can be found here: https://www.gov.uk/government/publications/independent-fintech-strategic-review-terms-of-reference.
Our Corporate and Commercial team here at Thomson Snell & Passmore has extensive experience advising companies who operate within the fintech sector. Please do get in touch if you would like to discuss our experience and how we can assist your business.