The scale of financial technology financing in the UK last year decreased by 21%, hitting the lowest level since 2020.
Due to cautious attitudes towards macroeconomic risks from investors and the shift towards opportunities in the American market, investment in the UK's financial technology sector fell by over 20% last year, dropping to its lowest level since the outbreak of the COVID-19 pandemic. A report released by KPMG on Wednesday showed that the total investment in UK financial technology is expected to be nearly $11 billion by 2025, lower than the approximately $13.4 billion in 2024. Throughout the year, the UK's financial technology sector completed a total of 418 transactions, down from 527 in 2024. The report noted that Revolut Ltd., a London-based company, completed a significant financing last year with a valuation of $7.5 billion, representing a considerable portion of the total investment in UK financial technology of around $4 billion. After successfully completing multiple complex transactions independently, Revolut is planning on hiring more employees to carry out secondary stock sales and financing activities. The report also indicated that the total global financial technology financing reached $116 billion, higher than the $95.5 billion in 2024.
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