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Report: UK fintechs brought in $37Bn in 2021, more than EMEA combined

Date: February 09, 2022 Sunil Jha Sunil Jha
Report: UK fintechs brought in $37Bn in 2021, more than EMEA combined 
KPMG, the multinational Anglo-Dutch professional services network, has supposedly reported that investment in UK’s financial tech firms grew sevenfold in 2021, hitting the $37.3 billion (£27.5 billion) mark.



According to reports, the firm also stated that London attracted more fintech funding in 2021 than the rest of Europe, Middle East, and Africa (EMEA) combined. The investment total was notably hoisted by the 601 deals finalized across the UK last year, up from the 470 deals recorded the year before, the financial services firm added.



London’s fintech sector boom was also consolidated by the overall size of a number of the deals signed last year, which included the likes of the $14.8 billion Refinitiv deal, which completed all transactions in January 2021. Out of the 10 biggest fintech deals cracked in the EMEA region, five were completed in the UK, KPMG said.



The company’s report outlines that while rapid growth is being witnessed across the UK sector, it still accounts for only a fraction of the global fintech sector. KPMG stated that in 2021 the overall global fintech funding witnessed across the numerous sectors was worth more than $210 billion; brough in through a record 5,684 deals.



Throughout the duration of 2021, payments continued to bring in the most amount of funding, accounting for approximately $51.7 billion in investments worldwide last year; a significant jump up from the $29.1 billion witnessed in 2020. This can primarily be attributed to a continued rise in interest across areas like ‘buy now, pay later’.



It was reported last month that Downing Street had made an audacious bid to attract Klarna, the $45 billion (£34 billion) payments firm to the LSE (London Stock Exchange) amid growing fears that several high-growth enterprises were snubbing London and making a move for New York.



Global fintech leader, Anton Ruddenklau, KPMG International, stated that the world is seeing an astounding amount of interest pouring towards all manner of fintech firms, with record-breaking funding across areas such as crypto and blockchain, wealthtech, and cybersecurity.



Ruddenklau added that while payments remain a prominent driver for fintech activity, the industry is broadening and diversifying every day.



Source credit: https://www.theguardian.com/business/2022/feb/07/uk-based-financial-tech-firms-won-sevenfold-funding-rise-last-year-to-37bn

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Sunil Jha

Sunil Jha has been a part of the content industry for close to two years. Having previously worked as a voice over artist and sportswriter, he now focuses on writing articles for newsorigins.com, across a slew of topics, ranging from technology to trade and finance. With a business-oriented educational background, Sunil brings forth the expertise of deep-dive research and a strategic approach in his write ups.