Chris Jessup: Fintech sector moving forward despite economic challenge
For years we have discussed Northern Ireland’s position as a center of excellence in fintech. Evidence of this emerges weekly, with news of companies investing in the region, parts of the local ecosystem expanding outward and continued growth across our corresponding clusters of reg-tech, compliance and cyber security.
Innovation and business transactions go hand in hand. FinTru, The Bank of London, fscom and Smarttech247 are recent examples of members of the local ecosystem that have celebrated expansion and investment. From start-ups to large institutions, the financial sector is doing what it can according to the circumstances, an indication that despite a fragile economic situation, the sector will stimulate further growth going forward.
Through our partnership with the FinTech National Network, which brings together the UK’s regional fintech hubs to encourage innovation on a national basis, we know that fintech contributes to economic growth across the UK.
In Northern Ireland, as with our regional counterparts, the growth of the sector is not a new phenomenon that can be exploited in a challenging economic climate. The expansion of fintech locally is forecast and strategy-led, with key targets and performance indicators in place.
We have a workforce of over 7,000, are a cluster of 75 plus companies and generate £392 million in annual GVA to the local economy. As the not-for-profit trade association representing the sector, we have not been shy about our ambitions to grow this further and have a strategy in place to achieve our projections.
These include the creation of 25 new fintech companies, the attraction of £25 million in additional foreign direct investment and the generation of thousands of new jobs.
Well on its way to achieving this, the fintech sector is working together to ensure growth in Northern Ireland is sustainable. At FinTech NI, we have identified several areas of focus to ensure that these targets are met and actually exceeded in the months and years to come.
We know that there needs to be improved financial and business support available to indigenous fintechs with high growth potential, which covers many of our startups and SMEs operating locally. Connecting entrepreneurs to large institutions and specialized advisory firms is key to stimulating knowledge sharing, new partnerships and economic growth.
As an association, we have repeatedly spoken about building a sustainable talent pipeline, which requires working with schools and educational institutions to encourage young people into the sector. Linked to this is our work with the wider community, engagement with the public sector to promote fintech career opportunities and contribute to curriculum development.
As the sector grows, there is also a requirement to build a clear line of sight for regulators such as the FCA to engage with and support fintechs to ensure their growth is compatible in the jurisdictions in which they operate.
These are the areas that make up the current working phase of fintech in Northern Ireland. The opportunity for growth here is still very obvious, so the time has come for implementation. Ensuring that this takes place and that the local ecosystem is positioned as a world leader in fintech will be my focus going forward as chairman of the FinTech NI Association.
:: Chris Jessup is chairman of FinTech NI
