Fintech without borders IS possible: Brexit is an opportunity

You may find it a little difficult to believe at the moment, but Brexit may open new possibilities for the financial sector in London. Perhaps it’s not up to the big banks to transform or secure the future. Indeed, it may be the perfect time for Fintech companies looking to disrupt the financial world to move into the city.

That’s because Fintech companies should look beyond borders to change the industry as a whole.

Brexit will impact the financial world, but it’s not necessarily a sign of economic collapse for any city, country, or region. It’s possible that it’s merely a chance for the industry to change. And that’s not a bad thing.

London is a Fintech hub, regardless of its status as the EU’s banking headquarters

Think back a few years to the financial crisis that hit in 2007 and 2008. No matter how much we attempt to recover from and block from memory the events that transpired during these years, the world was plunged into a recession as the result of banking practices.

Without considering blame or the issues that caused the Great Recession, it’s important to remember just how many hard working bankers, investors, and traders found themselves looking for a job overnight. Given the job security these individuals had become accustomed to over the years, frightening doesn’t begin to cover the fear circulating in the industry in London and around the world.

The economy took a knock, no doubt about it; but London developed a thriving Fintech scene as innovation took over where job security couldn’t. New companies hit the market with an aim to transform broken elements of the financial system. Sure, the Fintech 50 list isn’t limited to London-based companies, but the effects of the Great Recession weren’t isolated either.

Talent is always a little more of an issue than we may realise

In his keynote address at the Fintech Without Borders breakfast, Prodigy CEO Cameron Stevens pointed out a crucial element that disruptive businesses face time and time again. Incredible talent is evenly distributed. You’ll find potential in developing countries just as you will in developed countries.

It’s an area where Fintech companies have a chance to make a difference. Cameron points out that when Prodigy started, “we were thinking how do you fund someone from anywhere in the world who has high potential but really is restricted from credit purely because of structural factors. Potential is distributed equally around the world but finance definitely is not.

Prodigy Finance Ltd is authorised and regulated by the Financial Conduct Authority.