By Scott Reid

Copyright scotsman

Scottish financial technology businesses looking to go global are being offered a leg up thanks to a “unique” industry partnership. The initiative led by Scottish Enterprise and FinTech Scotland is designed to accelerate international growth for Scottish fintech companies while attracting a new wave of foreign direct investment. Scottish business minister Richard Lochhead outlined details of the Scotland and North America Fintech Gateway during a speech at the FinTech Scotland Festival. The 18-month programme will be targeted at international fintech firms and tailored to fintechs based in Scotland that are “export ready” and actively targeting the North American region. It is the first time such a sectorial and a geographical targeted approach has been taken in Scotland for the growing fintech industry. That fintech community has expanded to more than 250 companies and now employs in the region of 11,300 people, of which about 1,700 are employed by fintechs with international headquarters. Lochhead said: “This new initiative represents a significant milestone in our mission to position Scotland as a global fintech powerhouse. “The gateway will help to cement our reputation as one of the best places in the world to create the financial technologies of the future. This follows the rapid growth of the sector which has created thousands of high-paid jobs in Scotland in recent years. “It also builds on our Programme for Government priorities to strengthen inward investment from the United States and attract more tech companies to Scotland,” he added. Reuben Aitken, managing director of international operations at Scottish Enterprise, said: “Scotland’s thriving fintech sector is worth over £14 billion to the Scottish economy. The launch of the Scotland and North America Fintech Gateway will support new export opportunities, attract high-value investment, and help create jobs. “We know the US is a key market and this initiative helps place fintech as a key driver of international innovation and growth. This partnership with Fintech Scotland helps strengthen international collaboration and expand Scotland’s global footprint.” Nicola Anderson, chief executive of industry body FinTech Scotland, added: “The North America Fintech Gateway combines FinTech Scotland’s global network of fintech hubs with Scottish Development International’s market intelligence and incentives to help Scottish innovators land in new markets faster, while showcasing Scotland as the most collaborative and innovative place to build fintech solutions.” Scottish Enterprise said the “unique” initiative would serve as a blueprint as additional regions and countries become priorities for Scottish businesses across all Scotland’s priority sectors. FinTech Scotland’s analysis shows that 30 per cent of the country’s fintech firms are actively preparing to export, targeting key markets in North America, Europe and Asia Pacific. Meanwhile, out of the 82 Scotland based fintechs which started elsewhere, about a third are North America headquartered. The new gateway programme is structured around two “workstreams” – accelerating trade from Scotland and boosting inward investment to Scotland. Scottish Enterprise said there would be a co-ordinated “Scotland presence” at key industry events including Fintech Meetup, supporting firms to build profile and unlock new commercial opportunities. There will also be access to a network of senior leaders in financial services and technology offering “strategic feedback and insights on value propositions and growth strategies”. This includes individuals from the GlobalScot network, in-market contacts and Fintech Scotland’s global strategic partners with a North American presence including the likes of Morgan Stanley and JP Morgan Chase. The gateway scheme will provide support and incentives for North American fintech companies looking to establish a base in Scotland, with “practical guidance” on location, hiring and regulatory navigation. Scottish Enterprise said Scotland’s universities were producing top-tier graduates in areas such as artificial intelligence (AI), quantum computing and financial technologies – comparable in quality to leading US institutions, but with a “significantly more cost-effective” talent base than London or the US. One of the first activities of the Scotland and North America Fintech Gateway will see FinTech Scotland sign a memorandum of understanding with Atlantic Fintech in Canada to develop cross borders opportunities. Cluster A study earlier this year revealed a further increase in the size of the fintech community north of the Border. There was an 8 per cent rise in the overall headcount within the FinTech Scotland “cluster” during 2024, according to the trade body. That year on year increase brought the total number of people working in fintech in Scotland to about 11,300. FinTech Scotland was founded in January 2018 as a joint initiative by the University of Edinburgh, Lloyds Banking Group, HSBC and Scottish Enterprise. It is now supported by a broad range of global financial services, technology and professional services firms as well as major universities and the Financial Conduct Authority (FCA). Non-for-profit FinTech Scotland said the cluster growth last year had been underpinned by increasing technology adoption and fintech partnerships with established financial firms, highlighted by a tenfold increase in the number of Scottish small and medium-sized enterprises (SMEs) operating in the arena since 2018. Fintech development has accelerated as more of us embrace digital banking and use apps to manage a range of services such as savings, investments and pensions. Anderson said the various cluster initiatives were delivering a “positive economic outcome” through the creation of jobs, investment and “innovative” small businesses. “The Financial Regulation Innovation Lab highlights our leadership in using collaboration and technology adoption to deliver this growth and shape the future of financial services,” she added. How Scotland’s fintech boom is leading innovation and creating thousands of jobs