The UK has always had a seat at the table in technology and innovation, but according to Dealroom.co and DEC, it has grown tenfold in the past decade, with increases in investment and the number of billion-dollar “unicorn” companies. By the end of 2020, venture capital investment into the UK had increased from £1.2bn in 2010 to £11.3bn.
Dealroom.co and DEC found that the UK now has 91 “unicorn” companies and a further 132 companies are considered on a path to that status. According to its data, Pollinate has been named one of the top 15 companies on that trajectory, alongside four other fintech and banking software providers, and a number of companies in energy, insurance, and agriculture, among others.
It was reported that a new technology business was created every 30 minutes in 2020 in the UK, with nearly 19,500 registering in total. And the industry saw a surge in hiring at the start of 2021 with more than 185,000 jobs being advertised at the start of the year, proving that the sector continues to go from strength to strength.
While DEC and Dealroom.co are looking at a broad spectrum of technology companies, this data echoes the findings of The Kalifa Review, a report commissioned by HM Treasury and chaired by industry expert, Ron Kalifa, looking specifically into the growth and future of fintech in the UK.
The UK has always been a hub of innovation for fintechs. Once considered a niche sector, fintechs are working to solve fundamental, operational, and systemic challenges. From new ways to make and authenticate payments, to specialist providers that help businesses to run more efficiently, fintechs underpin financial services, an industry that employs over 1m people.ALASTAIR LUKIES CBE, FOUNDER AND CEO, POLLINATE
According to The Kalifa Review, in 2020, UK-based fintechs accounted for 408 of the 3,052 investment deals and $4.1bn in funding that year. In fact, the sector that has created the most “unicorn” companies in the UK over the past ten years was fintech (32 companies), strengthening its position as a global market leader in the sector.
Watch the full discussion between Ron Kalifa OBE and Al Lukies CBE as they discuss the future of fintech in the UK and the proposed five-point plan to continue to foster its growth here.
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