Liverpool’s fintech sector is contributing £218.8m a year to the region’s economy, according to new data.
A new report on Liverpool’s fintech market, published by Whitecap Consulting, has found that the sector – which comprises 42 identified firms – is growing despite, for now, being overshadowed by fintech hubs elsewhere.
Startups in the region include the digital bank Greenfin, software developer Icede Solutions and financial data management firm Intellica.
“Over the course of this project the ambition of Liverpool City Region’s innovation investment activity has been a prominent feature, and Whitecap’s analysis of other regions over recent years has shown the economic value generated by fintech has doubled or trebled over the last three years,” said Julian Wells, director and fintech lead at Whitecap Consulting.
The report added that beyond fintech, the city was looking to ramp up innovation across the board, with an ambition to grow R&D investment to 5% annually and the goal of adding £41.7bn of gross value added (GVA) and 44,000 new jobs by 2030.
“When you combine this trend with the fact that the region is targeting nearly twice the national average in terms of R&D investment, the potential for significant growth of FinTech in the region is clear to see,” added Wells.
The figures come amid a wider drop in fintech funding in the UK. This week, Innovate Finance published figures revealing the sector had raised £2.3bn in the first half of the year, a 37% drop compared with the last half of 2022.
“I’m delighted to see such a positive story about the fintech sector in the Liverpool City Region at a time when the importance of regional fintech ecosystems across the UK is high on the agenda than ever before,” said Chris Sier, chairman of FinTech North.
“FinTech North has been coming to Liverpool since 2018 and we have always been made to feel very welcome, as have the international delegations of fintech firms we have helped bring here.”