SCOTLAND’S financial technology sector has seen a significant increase in jobs with more than 10,500 people now employed in the industry.

According to FinTech Scotland, which manages the “fintech” cluster in the country, there has been a 24% increase in jobs within fintech enterprises since 2021.

That equates to more than 10,500 employed across 226 enterprises. 

An increasing number of small to medium-sized fintech businesses starting in Scotland has helped contribute to the increase, as well as growing maturity across established businesses and a continued number of international businesses settling in Scotland.

FinTech Scotland also reports an increase in enterprises scaling through collaboration with large financial institutions.

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So-called “fintech innovation labs” were highlighted as playing a key role in allowing product development to thrive and partnerships to develop.

These innovation labs, launched with institutions such as Lloyds Banking Group, TSB and Phoenix, aim to provide positive outcomes for customers through collaborative fintech partnerships.

For example, home energy efficiency platform Snugg won a competition to join the TSB innovation hub – allowing TSB customers to improve the energy efficiency of their home via their technology.

Fresh analysis also shows that 38 international fintech companies have included Scotland in their development plans, including big players such as AccessFintech and Clearwater Analytics.

Nicola Anderson, CEO of FinTech Scotland, said: "As we mark Fintech Scotland's sixth anniversary, we’re focused on building on the strong foundations that are enabling Scotland to continue to realise its fintech potential.

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“Seeing the increase in SMEs and the growth in jobs is a testament to the fintech businesses and the commitment from all involved in the FinTech Scotland Cluster.

“It spurs us on as we look to the year ahead and continue to focus on growth, the fintech community, and supporting Scotland to achieve its ambition as global fintech leader."

Jane Martin, managing director of innovation and investment at Scottish Enterprise, added that the increase was a “clear indicator” of how attractive Scotland is as a destination to do business.

“The 24% increase in jobs in the fintech cluster reflects Scotland's commitment to nurturing an environment where technological and financial innovation can thrive,” she said.

“The growth in employment is a clear indicator of our country's attractiveness to global fintech companies, driven by our rich talent pool, academic excellence and well-established strengths of our financial services sector.

“We look forward to working with Fintech Scotland and the wider sector to see even more companies coming through, achieving scale and creating new jobs over the years to come.”

FinTech Scotland was founded in 2018 as a joint initiative by the University of Edinburgh, Lloyds Banking Group, HSBC and Scottish Enterprise. 

It independent not-for-profit body aims to ensure Scotland seizes opportunities within the sector.