Investors are putting more money into financial technology companies in London than any other city in the world, according to figures released today.
The numbers, published by London & Partners, the Mayor of London’s promo agency, show that so far this year London’s fintech companies have attracted more than $539 million (£342 million).
The figure is three times higher than last year and accounts for more than half of the $1.06 billion (£673 million) that has been invested in European fintech firms.
The YouGov poll also found 56 percent of the 271 senior business leaders surveyed from Britain’s financial services believe London is best placed globally to lead fintech innovation, ahead of New York (three percent), Hong Kong (four percent) and San Francisco (eight percent).
Meanwhile, 81 percent of those surveyed believe fintech is already having an impact on the traditional financial services sector.
However, 52 percent said high street retail banks need to embrace new technology and 48 percent said that banks were failing to adapt quickly enough to the challenges presented by advances in financial technology.
Mayor of London, Boris Johnson, said: “London has always been at the forefront of financial innovation and now our financiers are leading another global revolution, this time driven by technological innovations that are changing the way the world does business, creating new jobs and economic growth both in the UK, and in the other financial centres of the world.”
Today's figures come two months after corporate finance firm Ascendant released data showing 22 fintech companies (across the whole of the UK, not just London) signed venture capital deals worth £300 million between January and June, with fast-growing companies like Transferwise and Currency Cloud bagging themselves £15 million and £6 million respectively.
Johnson is currently on a six day trade mission to Singapore, Jakarta and Kuala Lumpur in a bid to promote London to the world as a major investment destination.
Steve Leonard, Executive Deputy Chairman of the Infocomm Development Authority of Singapore (IDA), said: “Singapore and London are natural partners. Just as we see London as a gateway into Europe, we want London to see Singapore as the best gateway to Asia.
“The Prime Minister of Singapore has laid out a vision for us to become a Smart Nation. This means Singapore is pulling together our world-ranked universities, multibillion annual R&D investments, a fast-growing community of tech startups and large pools of investment capital to tackle important global challenges brought on by the inevitable trends of ageing populations and urban density.
“The financial-services sector also represents an interesting space with huge opportunities for disruptive innovation.”
To coincide with Johnson’s trip, Startupbootcamp, the London-based fintech accelerator announced it will launch an Asia accelerator programme in Singapore next year.