Investment in fintech across Europe fell by 70% in the first six months of this year, with “more pain” expected for the sector as investors take a more disciplined approach. But a more mature and sustainable future lies ahead, finds fintech report.
According to a report from Finch Capital, the European fintech market’s total investment – including major centres such as the UK, France and Germany – was €4.6bn in the first six months of 2023, compared to €15.3bn in the same period last year.
The report revealed that US investors are reducing their activity. There were no US investors in the top five in the UK, Europe’s biggest fintech market, during the first six months of 2023, compared to three investors in the same six-month period in 2021. The UK’s share of total funding actually increased from 45% to 50% during the comparison period.
“Overall, the UK showed more resilience than some others and accounted for over 50% of the funding in Europe,” said the report.
The fintech boom over the past few years has been largely driven by consumer facing…
