Thursday 18 February 2021 12:34 pm

UK businesses eye fintech sector to help drive profitability

A growing number of UK businesses are looking to the burgeoning fintech sector to help boost profits post-Brexit. 

Britain’s payments startups have seen renewed interest during the pandemic as consumers and businesses pivot online.

A third of senior managers surveyed by cybersecurity firm ESET are prioritising improved efficiency and may opt to implement fintech solutions as one way of streamlining. 

It is in large part because of the perceived ‘ease of use’ of these new solutions. In a blow to traditional financial services, 58 per cent of managers believe fintech solutions are easier to set up. 

Given Britain and the EU are still thrashing out a financial services deal businesses are trying to streamline transactions with its trading partners. As a result nearly two thirds of business leaders indicated they plan to increase investment in fintech over the next year amid the Brexit fallout. 

Nearly two thirds of business leaders surveyed by cybersecurity firm ESET have indicated they plan to increase investment in fintech over the next year amid the fallout from the UK’s exit from the EU. 

Fintech has become an important part of the UK economy, with London attracting more private funding than all other European cities combined. 

It has been helped by a friendly regulatory environment, like the regulator’s digital sandbox. The government is hoping to implement fresh measures to support fintechs following its review into the sector led by Ron Khalifa, due to be published this month. 

“Our findings show that organisations in the UK are becoming increasingly interested in FinTech and are looking to incorporate more solutions into their business processes. It is important that this interest does not outstrip awareness of the potential risks, and that new technologies are adopted with a cybersecurity-first approach,” Jake Moore, Cybersecurity Specialist at ESET said.