The UK is showing fighting spirit as the level of investment in fintech has continued to increase despite the global slowdown.
New data released by Innovate Finance, the industry body representing the fintech community in the UK, reveals the global fintech investment trends from the first half of 2022.
The total capital invested into fintech globally reached $59 billion (£49.2 billion) in the first half of the year – flat year-on-year compared to 2021. The capital was spread across 3,045 deals – which is slightly fewer than 2021 which saw 3,401 deals in the first half of the year.
The global slowdown comes with some exceptions, including the UK which recorded a 24% year-on-year increase from 2021. UK based fintechs – which have been highly active on the pages of eWeek UK – received $9.1 billion (£7.6 billion) in investment spread across 294 deals compared to $7.3 billion (£6 billion) across 375 deals in the first half of 2021.
- It’s not just fintech doing well – read about ‘UK Overtakes China to Hit £12.7bn Tech Investment’ here
Janine Hirt, CEO of Innovate Finance, says: “It is critical that we now keep up this momentum. The UK is currently receiving more investment in fintech than all of Europe, second only in the world to the US. We must continue to work together – industry, government and regulators – to build on this leadership and ensure the UK remains the best place in the world to start, build and scale a fintech business.”
Some countries have seen notable drops in investment in H1 2022 including Mexico, Netherlands, South Korea and China, all falling down the global rankings.
The value of the top five biggest deals globally in the first half of 2022 was $5 billion (£4.17 billion), with Checkout.com, one of the top five from the UK. The largest deals from highest to lowest were for FNZ, Trade Republic, Checkout.com, Ramp and Coda Payments.
Overall, the US received the most investment in the first half of 2022, bringing in $25 billion (£20.8 billion) in fintech capital, with the UK in second place, rounded off by India ($3.9 billion / £3.25 billion), Germany ($2.4 billion / £2 billion) and France ($2.3 billion / £1.92 billion).
You can read the full analysis here.
