London FinTechs Raise Record Level Of VC Funding In First Half Of 2021

London-based FinTechs landed a record amount of venture capital investment in the first half of 2021, according to a Thursday (July 8) announcement that cited research from Dealroom.co and London & Partners. FinTechs based in the U.K. capital raised $5.3 billion in VC investments between January and June.

VC investments in London-based FinTech firms outpaced $5.2 billion in VC investments into New York’s FinTechs during that time, the announcement stated.

“It has been a brilliant start to the year for investment into London’s FinTech sector, demonstrating the resilience of the sector and the importance of FinTech to the city’s economic recovery,” London & Partners Acting CEO Allen Simpson said in the announcement. “Investors are showing real confidence in London’s FinTech offering as well as in an ecosystem with a vibrant funding ladder, reinforcing the city’s position as a leading global FinTech hub and a fantastic place to set up and scale a FinTech company.”

More than 3,000 FinTechs call London home, according to the announcement.

In addition, global investment in FinTech has attained new peaks in 2021 as the pandemic fuels the accelerated adoption of FinTech offerings, the release stated. Around the world, FinTech VC investments totaled $54.1 billion in the time spanning from January to June.

The news comes as London-based InsurTech firm Tractable became the U.K.’s 100th unicorn.

As PYMNTS previously reported, Checkout.com, a London-based electronic payments company, tripled its valuation to $15 billion after wrapping up a Tiger Global Management-led $450 million Series C funding round.

In addition, London-based B2B FinTech-as-a-Service (FaaS) upstart Rapyd landed $300 million in a Coatue-led Series D funding round.

“The demand for online payments has skyrocketed following the restrictions due to the effects of COVID, and as a company, we are well placed to provide businesses across the globe with the solutions they need and to get them up and running fast,” Rapyd Co-Founder and CEO Arik Shtilman said in a January announcement.