Latest news with #AllicaBank
Observer
25-05-2025
- Business
- Observer
Looking inside the rapid rise of fintech in the UK
It's been another record year for the industry, where businesses saw profits shoot up and customer bases swell. The UK's fastest growing private company by the Times Hundred and Europe's fastest growing start-up by Sifted, was Allica Bank, a London-based fintech. The firm nearly doubled its profit in 2024, earning £29.9m. Meanwhile, neobank giant Revolut topped £1 bn profit in 2024 and surpassed Europe's biggest lender, HSBC, in consumer base after recording 52.5m, compared to the lender's 41m. With young companies on the rise and established challengers posing a threat to traditional lenders, London has emerged as a global leader in fintech, but what's behind the City's momentum? Chief executive of Innovate Finance, Janine Hirt, said: 'Success stories like Allica Bank, Revolut and Zilch are great examples of UK fintech's strength — and they are far from the exception.' 'With over 82,000 people employed and projected growth that will see the workforce pass 100,000 in the next two years, the fintech sector is creating high-value jobs across the country and creating fast-growing hubs across the UK's nations and regions,' Hirt added. Innovate finance launched a unicorn council in 2024 aiming to steer the government with policy recommendations to help the industry thrive. The UK is the top unicorn breeder in Europe, having created over 185 startups valued over £1 bn, according to research from HSBC Innovation Banking. The unicorn council includes bosses from Monzo, Zilch, Zopa and Clearbank. Hirt said: 'Fintech is an area where the UK is genuinely world class and respected globally — fuelled by innovation, smart regulation and investment appeal.' Meeting consumer and business needs: In the early days of fintech ascendency, firms zeroed in on consumer lending. Monzo's focus in it's early days was becoming a digital-based, mobile-only bank born out of demand from customers. Founder and chief executive of Flagstone, Simon Merchant, said: 'What we think of as the modern fintech movement is over 12 years old already.' Over a decade later, Merchant is confident that fintechs offer better products for customers. 'Fintech-driven alternatives continue to think harder about what consumers and businesses want; and move faster to provide better products and services, versus what new customers can get from more 'traditional' financial services. The laser-focus and constant innovation of fintech has extended to the needs of businesses. Revolut launched its business arm in 2020 with a versatile offering geared towards cross-border businesses, freelancers and tech-savvy companies. And now young fintechs are entering a scene with a focus on catering to businesses. Alloy's head of growth for the UK, James Baston-Pitt, said: 'In the recent past, a UK's fintech's priorities were clear: win customers, grow at all costs and invest hugely in delightful customer experiences.' But as the times changed, so did the industry. He said: 'We're seeing a lot of product diversification among fintechs, all in the direction of higher value products.' Baston-Pitt added: 'Where they previously catered to customers, they now launch a B2B offering, where they only served current accounts, they now expand into lending or buy now pay later.' In 2024, while fintech investment fell, the UK maintained its spot as a leader in Europe. Total investment in the UK's fintech communities topped France, Germany, China, India, Brazil and Canada combined, according to KPMG data. Merchant said: 'UK fintech has a great culture of mutual support and it's not uncommon to see fintech founders and alumni offering not only financial investment, but knowledge transfer, angel investment and 'sweat equity' to new fintech entrants in the market.' He added: 'This culture of fostering and bolstering is a huge part of what makes UK fintech so strong and confident on the world stage.' Meanwhile, London is almost neck and neck with New York to become the world's leading fintech hub — and the current economic climate could tip the scales. Andy Jalil The writer is our foreign correspondent based in the UK
Times
19-05-2025
- Business
- Times
Lending gap for small businesses ‘is hurting UK's growth'
A £90 billion 'lending gap' in the provision of bank finance to the UK's small and medium-sized companies is holding back investment, productivity and economic growth, a study has found. Research into lending trends over the past four decades found that a 'credit shortfall has developed particularly in productive SME lending for growth and working capital' and that this was a possible reason behind the UK's persistently weak growth and productivity. A 'heavy shift' towards low-risk lending that is backed by property has resulted in a dysfunctional business finance market, the report by Allica Bank found. UK bank lending to companies had fallen 'well below the historic trend' levels, Allica said, with lending to SMEs £90 billion lower than it would have been had it
Yahoo
16-05-2025
- Business
- Yahoo
Allica Bank integrates QuickBooks to improve SME management
UK's Allica Bank has integrated Intuit's accounting software platform QuickBooks, to improve financial management for small and medium-sized enterprises (SMEs). As part of this integration, Holders of Allica's Business Rewards Account can now link their accounts with QuickBooks, allowing for automatic updates of transactions. The integration will deliver real-time financial visibility, thereby reducing the need for manual data entry and minimising errors. Allica Bank said this alliance is in line with its objective to enhance banking services for established SMEs, particularly those employing between 5 to 250 staff members. This segment has often been neglected by conventional high street banks, making this collaboration notably important, the company noted. By facilitating automatic syncing, the integration aims to lessen administrative burdens, enabling business owners and accountants to focus on strategic development. This transition is expected to improve decision-making through enhanced 'accuracy and efficiency'. Allica Bank Partnerships head Sophie Hossack said: 'We're incredibly excited to launch our integration with QuickBooks! By partnering with a leading accounting platform, we are helping businesses and accountants to focus more on what matters with quick and efficient technology. 'Time is a valuable resource for business owners and we will continue to simplify business banking to ensure we deliver a meaningful and impactful service to established SMEs across the UK. 'A core focus of our partnerships team is to strengthen the collaboration between accountants and Allica as we believe it is crucial for SME success. The integration plays a key part in this as it empowers businesses with the financial insights and support needed to thrive whilst also simplifying processes for their accountants.' In March 2025, Allica Bank has announced plans to double the size of its accountancy partnerships team, increasing the headcount to 16. This expansion comes less than a year after the team was first established. The team, which is led by Sophie Hossack and Richard Williams, offers 'personalised and dedicated' support to accountants and their established SME clients. "Allica Bank integrates QuickBooks to improve SME management" was originally created and published by International Accounting Bulletin, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
16-05-2025
- Business
- Yahoo
Allica Bank joins Acquis Lumia platform for asset finance monitoring
Allica Bank has become the 38th company to join Acquis Data Services' Lumia platform for asset finance monitoring. Launched in 2022, Lumia provides a view of a company's asset finance arrangements, enabling them to identify suspicious borrowing activities. Allica Bank, a challenger business bank focusing on established SMEs, introduced its asset finance product in January 2021. By the end of last year, the bank had provided more than £650m ($863.40m) in asset finance and aims to reach £1bn by the end of 2025. Across all lending products, Allica has lent over £3bn to UK businesses. The bank reported a profit after tax of £29.8m in 2024, marking a 55.2% increase from £19.2m in 2023. Its gross revenue grew to £292.1m in 2024 from £173.9m a year ago. Acquis Data Services director James Rudolf said: 'Lumia has been in the market for three years and now covers 75% of the total asset finance industry. 'We are absolutely thrilled with Allica Bank joining – its asset finance business has grown exponentially in recent years and now totals over £650m. This just brings us one step closer to whole of market coverage for Lumia.' Allica Bank senior product owner James Breteche said: 'A core area of focus for my team is ensuring that Allica is secure and always able to support our customers, and that includes defending against fraud, which is an issue that affects everyone. Integrating with Lumia is a really positive step forward in identifying and preventing fraud, not only for Allica but across the industry." Last month, Acquis Data Services introduced a "portfolio monitoring" feature to the Lumia platform. This enhancement allows users to identify and monitor "significant changes" in borrowing value throughout the agreement's life, offering deeper insights into financial patterns. "Allica Bank joins Acquis Lumia platform for asset finance monitoring" was originally created and published by Leasing Life, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Finextra
14-05-2025
- Business
- Finextra
Allica Bank connects customers with QuickBooks
Allica Bank, the UK's fastest-growing company, has announced a new integration with QuickBooks, a leading accounting software platform widely used by SMEs. 0 From May 14th, Allica Business Rewards Account customers can connect their accounts directly to QuickBooks, enabling automatic transaction syncing. This real-time connection will provide business owners and their accountants with an up-to-date view of their finances, reducing manual data entry and the potential for error. The integration builds on Allica's mission to transform business banking for established SMEs - those businesses with between 5 to 250 employees - a sector often overlooked by high street banks. The new integration will also enable businesses and their accountants to reduce admin, increase accuracy and make quicker decisions. It means less time crunching numbers and more time focusing on business strategy and growth. Sophie Hossack, Head of Partnerships at Allica Bank, said: "We're incredibly excited to launch our integration with QuickBooks! By partnering with a leading accounting platform, we are helping businesses and accountants to focus more on what matters with quick and efficient technology. Time is a valuable resource for business owners and we will continue to simplify business banking to ensure we deliver a meaningful and impactful service to established SMEs across the UK.' 'A core focus of our partnerships team is to strengthen the collaboration between accountants and Allica as we believe it is crucial for SME success. The integration plays a key part in this as it empowers businesses with the financial insights and support needed to thrive whilst also simplifying processes for their accountants.' Nick Williams, International Product Director at Intuit, added: "This integration with Allica Bank enables a seamless connection with Allica's Business Rewards Account, making it easier for business owners to manage their finances and communicate more effectively with accountants. From starting up, to scaling and beyond, the Intuit platform puts everything in one place to run and grow a business, from lead to cash. This means customers can direct their efforts elsewhere without worrying about tedious administrative tasks.' This partnership reinforces Allica Bank's ambition to transform business banking for established SMEs by making their banking more rewarding, powerful, and human for established businesses. Earlier this year it revealed that the success of its relationship and technology-based model means it will be tripling the size of its relationship manager team in 2025, alongside doubling its dedicated accountancy partnerships team, with the ambition to achieve a 10% share of the established SME market by 2027.
