FinTech Walesthe independent association and champion of the Fintech and financial services sectors in Wales, has today published its latest Fintech in Wales report for 2023/24.
Published annually since 2021, the report provides an in-depth overview of the fintech sector in Wales. In particular, it examines investments, skills, industry trends and ecosystem growth, and makes recommendations for the future.
Some of the key figures from the 2023/24 report include:
- Investment in Welsh fintech has increased from £13m in 2022 to £70m in 2023.
- 2024 investment activity in Wales reflects the wider global trend in fintech funding, where seed and early-stage deals have recovered slightly, while larger later-stage deals remain rarer than before the pandemic.
- The number of people employed in the financial and related professional services sector in Wales has increased from 64,000 to 73,000 in the last 12 months alone.
- Fintech employment specifically in Wales is around 13,000, an increase of 15% since 2021.
- Cardiff remains the UK’s second largest insurance hub after London, with the city and surrounding areas employing 8,550 of the above 73,000 people in the sector, up from around 6,000 in 2022.
- The fintech industry contributes around £1.6 billion to Wales’ GVA.
Acquisitions and partnerships remain a key strategy to drive the national and international growth of Welsh fintechs, enabling them to evolve, innovate and expand into new markets with agility and impact.
To support the continued success and growth of the Welsh fintech sector, FinTech Wales publishes annual recommendations, with this year’s report highlighting the crucial need for Welsh fintech to access the funding necessary to reach their full potential, particularly in an environment economic uncertain. As an advocate for its members, FinTech Wales is committed to securing the recognition this thriving sector deserves by amplifying their achievements and campaigning for increased funding and investment. It also calls for more investors to visit and invest in the region, so that it can showcase the thriving innovation within its ecosystem.
Additionally, the report discusses the need to ensure a talent pipeline with the skills fintechs need to start and grow, as well as innovate – another ongoing priority.
Rebecca Evans MS, Cabinet Secretary for Economy, Energy and Planning, contributed to the report: “We are delighted to continue to support and work closely with our thriving Welsh fintech ecosystem. The growth of this sector illustrates Wales’ commitment to innovation and excellence. From pioneering financial and technology solutions to high-quality job creation, fintech plays a pivotal role in shaping the future of our economy.
“We are proud to support this dynamic sector, which brings together talent, technology and investment, propelling Wales onto the global fintech stage. Our government remains committed to fostering an environment that allows fintech companies to grow, collaborate and succeed.
Sarah Williams-Gardener, chair of FinTech Wales, said of the report: “The Welsh fintech sector is thriving, with £70 million of investment in 2023, an increase in seed and early-stage investment in 2024, 13,000 jobs, £1.6 billion in economic contribution, multiple acquisitions and international expansions – this is a testament to the power of innovation. , collaboration and global ambition. While these achievements are remarkable, much remains to be done to unlock our full potential. Together, we are building a world-class fintech hub that drives sustainable economic growth and innovation.
Sarah Kocianski, CEO of FinTech Wales, commented: “It’s wonderful to see the continued growth and evolution of the Welsh fintech industry highlighted. The last 12 months have shown us more innovation, more creativity and more inspiration than ever before. That said, there is always more to do to ensure our ecosystem continues to thrive, and with the recommendations in this report, we have a plan for how to get there.
Launched in April 2019, FinTech Wales is a not-for-profit organization championing the technology and financial services sector in Wales. With over 150 members, FinTech Wales aims to help businesses in Wales and beyond to start and scale in an atmosphere of support and collaboration. Ultimately, the aim is to make Wales a world leader in the global fintech community, bringing together entrepreneurs and businesses of all sizes, as well as technology providers, innovators, universities, colleges and organizations of the public sector.
Further information about FinTech Wales and its work is available on the website www.fintechwales.org. To read the full report, please Click here