London hailed as ‘global fintech capital’ as LSE reviews funding

London’s Deputy Mayor for Business, Rajesh Agrawal has said that London is the ‘fintech capital of the world’ in an interview at Fintech Week London – as a review of fintech funding launched this week. 

Rajesh Agrawal said, “London is truly the fintech capital of the world – we’ve got over 3,000 fintech companies which is more than any other city… we’ve got to remain open for talent at all levels”

“London is like New York, Silicon Valley and Washington all in one place, with regulators, government and investors all combined in one location, meaning we’re in poll position to attract fintech firms.”

“We need to continue to support the sector.”

Biggest ecosystem in Europe

London has attracted billions in fintech investment, becoming the largest tech ecosystem in Europe, with a total value of $314 billion invested compared to closest rival Berlin at $94 billion. 

This week the London Stock Exchange Group has backed a new review of fintech funding in the capital after a dip in investments from venture capitalists and lower valuations of start-ups in recent months. 

Review of fintech funding

The Review into Fintech Funding was launched this week by Fintech Week London and is backed by the London Stock Exchange, and will include regulators, investors and finance firms. 

 Raf de Kimpe, CEO of Fintech Week London told City A.M. that the dip in valuations and funding would dominate conversations at the event.

He said, “Now more than ever, especially post pandemic and with what’s happening in the economy, it’s important for people to find the right partnerships and the right collaborations and even learn from each other on how to tackle this.”

“We’re going to look at what has happened to funding, how we can learn from this and how we can work together to make sure that industry gets better than before.”