Scottish FinTech sector attracts £37m investment
Written by Peter Walker
FinTech in Scotland has attracted nearly £37 million investment over the last 10 years, with an ‘ecosystem’ of startups, large firms, universities and the public sector.
Firms such as HSBC, Morgan Stanley, NCR, Ingenico and Avaloq all have headquarters in Scotland, while JPMorgan’s European Technology Centre in Glasgow is a key hub, with 1,300 employees. Last year, the Royal Bank of Scotland opened a specialist FinTech hub at its headquarters just outside Edinburgh.
Deloitte’s 2017 Global FinTech Hubs Federation report highlighted Edinburgh’s high concentration of key elements, which put it behind only London and the South East of England in terms of FinTech friendliness.
Economy secretary Keith Brown also pointed out that Scotland’s universities are leaders in many of the technologies that drive the industry, including artificial intelligence, data analytics and blockchain.
“Scotland’s strengths in the sector are largely based on its data expertise,” he stated. “The Edinburgh City Deal, with its focus on data-driven innovation, is a key element to the future growth of FinTech.
Chair of FinTech Scotland, Stephen Ingledew, said the country punches well above its weight in FinTech. “Collaboration and inclusion are important parts of a vibrant FinTech ecosystem and Scotland offers this as well as global connectiveness and a diverse talented workforce that helps FinTechs to move fast and innovate.”
The Scottish Investment Bank has invested £12.4 million in the industry, with a total deal size of £36.9 million - including private sector leverage of £24.5 million - since 2008.