The UK fintech industry needs the government to “get behind” it to unlock the “full power of the sector”, according to Innovate Finance chief executive Janine Hirt (pictured).
Speaking at the organisation’s Fintech as a Force for Good event, Hirt lauded the achievements of the industry, describing it as a tool to support “inclusion and democracy” as well as acting as “powering up the engine of our UK economy”.
The Innovate Finance boss described how it is fintechs lending the bulk of capital to small businesses and broadening access to financial services.
Hirt claimed that the UK is home to “without a doubt the very best fintech ecosystem in the entire world”, but warned it was still in need of public sector support.
“Fintech is a huge driver of growth, but in order for the full power of our sector to be unlocked and help benefit this community and our entire economy, we need government and we need regulators to get behind us as well and support this sector,” Hirt said.
Hirt warned that UK investment into the sector was slipping, giving way to the rise of rival international fintech sectors.
“We have to grasp the opportunity that lies before us, because other countries around the world, they see that opportunity too, and they are moving forward,” she said.
“We have gone to take action, and we’ve got to take action now if we are going to cement our leadership in financial innovation and fintech.”
Speaking ahead of Chancellor Rachel Reeves’ Autumn Budget in November, Hirt called on the Treasury to incentivise founders to create innovative businesses in the UK, to go further on investment tax schemes such as SEIS and to offer tax incentives for firms going public in the UK.
Hirt acknowledged the value in the government’s Mansion House plan to encourage pension capital to go towards business investments, but warned against complacency in monitoring if the scheme’s targets have been met.
“The world is changing, so let’s all work together to make sure that it is the change we want to see.”