The latest FinTech50 list is out, and alternative finance providers and digital banks account for a fifth of its constituents. RateSetter, MarketInvoice and LendInvest have made this year’s list, while Funding Circle and Zopa have been awarded a place in the Fintech50 Hall of Fame.
Alongside P2P platforms Zopa and Funding Circle, other entrants to the hall of fame include online wealth manager Nutmeg and money transfer service Transferwise.
The annual Fintech50 list, which was first launched in 2013, selects the 50 European fintechs that are transforming financial services and which recognise innovation rather than revenue. Fintech is booming in the UK, with both venture capitalists and big banks circling to find companies that can transform financial services.
The FinTech50 companies are selected by a panel of more than 60 industry experts, following extensive year-round research. This year’s list started with over 1,500 companies. The organisers said that this was the most “hotly contested” list since its inception in 2013 with 24 of the companies in the chosen 50 being new to the list.
“Fintechs working with banks is a powerful trend, but there is also a new generation of innovators going direct to the consumer in areas such as insurance and financial management,” said Julie Lake, founding director of the Fintech50.
“Noticeably this year, we saw an emerging evangelism for challenger brands from a very important source: their customers. They may not have (anywhere near) the customer volume of traditional providers, but they are winning hearts and minds in a style more often associated with consumer goods.”
Meanwhile, the Fintech50 Hall of Fame comprises 10 fintechs that have featured on the Fintech50’s radar since they were start-ups and are still innovating.
“In recognition of their pioneering spirit and competitive staying power, the Fintech50 founders felt they deserved their own special place within a list of remarkable game-changers,” said the organisation.