UK Fintech Funding Fell 21% Last Year, Hitting Lowest Since 2020

Investment in the UK financial technology world plummeted by more than 20% last year to the lowest levels since the start of the Covid-19 pandemic, as backers hesitated on macroeconomic risks and flocked to US opportunities.

UK fintech investment totaled almost $11 billion last year, down from about $13.4 billion in 2024, according to a KPMG report on Wednesday, which cited Pitchbook data on global mergers and acquisitions, private equity and venture capital. A total of 418 deals dedicated to fintechs in the UK closed last year, down from 527 in 2024.