UK fintech investment hits $7.2 billion in H1
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In total, there were 216 UK M&A, PE and VC fintech deals completed in H1 2025, up slightly from 198 in H1 2024. There was also significant variance between Q1 and Q2, with the former accounting for $5.2 billion of investment across 125 deals compared with $2 billion in Q2 2025 across 91 deals.
The first half of the year saw several big money deals, including the $3.1 billion buyout of private markets data group Preqin by Blackrock, a $500 million VC round by cross border payments platform Rapyd Financial Network, and a $500 million raise by the wealth and asset management technology platform FNZ.
The UK remains the centre of European fintech investment, with British firms attracting more funding than their counterparts in the rest of Emea combined.
However, the numbers are still down on the highs of 2021, with geopolitical uncertainty, market volatility and global concern around macroeconomic growth rates all contributing to the more subdued environment, says KPMG.
Hannah Dobson, partner and UK head of fintech, KPMG UK, says: "Although UK fintech investment experienced a slight decline in the first half of the year compared to 2024, it is encouraging to observe the continued resilience of the UK fintech sector despite the challenging macroeconomic environment.
'Key initiatives to keep an eye on in the UK's fintech scene in the next few months include the FCA's partnership with Nvidia. The new sandbox will allow banks to tinker with computing and AI enterprise software, primarily for testing and research prior to deployment.'
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