The roadmap, which is titled the “Kalifa Review of UK Fintech,” lays out a five-point strategy to achieve the U.K’s financial technology goals. According to the report, those goals relate to “policy and regulation,” “skills,” “investment,” international considerations and “national connectivity.”
Last year, Chancellor of the Exchequer Rishi Sunak tasked Ron Kalifa OBE to independently review the U.K.’s fintech industry. To that end, Kalifa detailed the state of the space as well as identified some key objectives to help the U.K. maintain its status as a global fintech hub, according to the office of the exchequer.
The report, among other things, calls for:
- Dynamic leadership to balance consumer protection with innovation and competition
- Ensuring an adequate supply of talent and workforce training
- “Completing the funding ladder from start-ups right through to IPO”
- Targeted exporting paired with “inward investment”
- Facilitating fintech connectivity
“Consumers and businesses are rapidly changing the way they interact with financial services and the fintech sector is ideally placed to respond to this changing dynamic," said Charlotte Crosswell, CEO of Innovate Finance, in the report. "This will result in the creation of new digital jobs to power our most innovative businesses, inspire a next generation of entrepreneurs, and in turn enable the growth of global champions. We must remain an ambitious partner in a sector where we are at the forefront of global thought leadership.”
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Other recommendations in the report include the implementation of a “scalebox” strategy that would enhance the U.K. regulatory sandbox as well as include measures aimed at facilitating partnership between fintechs, regtechs and incumbents. This would also help support firms in the growth phase, the report notes. Further, the outline calls for a “business champion” to be appointed to help support fintech growth and development.
“This is a pivotal moment for the UK. There are significant opportunities offered by fintech–an area in which London already has unmatched global appeal. But for the UK to retain its position as world leader and continue to attract investment into the sector, it is vital to offer an environment which supports innovation,” said Catherine McGuinness, policy chair, City of London Corporation, in a written statement.
In order to ensure there is sufficient progress on the plans laid out in the report, it also calls for follow up action next year. “We must hold ourselves to account in delivering the strategy outlined in this proposal. One year from today, both the public and private sector must come back to report on the progress they have made to deliver the recommendations in this Review,” it reads.
