The fintech industry is currently making a massive contribution to the Greater Manchester economy, with the sector on course to be worth £1 billion by the end of this year.
A recently published report compiled by Whitecap Consulting alongside regional stakeholder partners discovered that the fintech sector in Greater Manchester is the UK’s largest outside London. It is already worth £905 million as of April 2023, which represents 6.5% of the country’s fintech gross added value (GVA).
Greater Manchester’s fintech sector currently employs close to 10,000 people, with over 2,300 also employed in related start-ups and scale-ups.
The Growth of Fintech In Manchester
The Manchester Fintech Ecosystem Report 2023 report is the second review of Greater Manchester’s fintech ecosystem that has been published by Whitecap Consulting, with the first published in 2020. The professional advisory experts previously published other reports regarding seven of the UK’s regional FinTech ecosystems. The reports use data analysis of publicly available and subscription-based third-party databases and platforms.
The 2023 report shows that since the first report was published in 2020, the Manchester fintech sector has experienced significant growth across multiple measures, including a 67% rise in GVA.
The number of fintech firms has increased by 133%, while the number of related start-ups and scale-ups has risen by 218%. These new businesses in the sector have caused the estimated fintech workforce in Manchester to increase by 36.6% since 2020.
Connecting London Capital to the North West
There is also increased talk of investors from the capital helping to support and grow the fintech sector in Manchester. The Right Honourable Lord Mayor of the City of London, Alderman Nicholas Lyons, spoke about the report and potential new investment, saying: “The research astutely highlights the increasing strengths of Manchester’s fintech sector as part of one of the largest hubs across the UK. We support the recommendations that come out of this report and are excited to work with our key stakeholders in Manchester on these. We have started already.
“During my visit to Manchester, I was pleased to bring a delegation of London investors with me. This helps to further connect London capital to the North West and support Manchester’s burgeoning fintech companies to scale.”
Last year already saw a record amount of investment in Manchester-based tech businesses, with a total of £532m secured throughout 2022.
Driving International Fintech Growth
The Chair of the Centre for Finance, Innovation and Technology, Charlotte Crosswell OBE, discussed the report, saying: “The results of the Manchester Fintech Ecosystem Report 2023 are impressive. I look forward to working with the financial services, and technology sectors in the region and across the UK to drive international fintech growth, attract talent into the fintech sector, and ensure better outcomes for consumers and SMEs.
“It is important we continue to enhance the links between industry, academia, government, and regulators to support this exciting sector and ensure that its impact is felt up and down the country.”Need help hiring in the thriving fintech sector? Get in touch with our expert team here at Fairmont Recruitment.