FinTech is more than just a fast-growing industry; it can drive economic prosperity and improve quality of life, not just in the traditional financial hub of London, but across the whole of the UK. The sector’s success, especially outside the capital, is critical for regional growth and a more balanced national economy.
A report released this month by Whitecap Consulting found that the FinTech sector in the North of England is now adding £5 billion a year to the economy, a figure that is set to rise to close to £6 billion by 2030. But to truly “level up,” FinTech firms across the North of England must be empowered to scale, innovate, and grow on par with their southern counterparts. And with Rachel Reeves recently stating her ambition of ‘making the UK the FinTech capital of the world’ during a recent visit to Leeds, this is the right moment to take action.
The northern FinTech landscape
According to the Whitecap report, as of 2025, the UK is home to approximately 3,300 FinTech firms, with nearly 400 (12%) based in the North. And the region’s FinTech workforce numbers are close to 70,000, showing clear momentum. Digging deeper into the report, it finds that regional strengths include payments, lending, wealth management, and banking. A thriving ecosystem exists, but growth is being hampered by infrastructure limitations.
Barriers to Growth
Whitecap’s report identifies poor communications connectivity as a major constraint on growth for Northern FinTechs, and a critical priority to address. In a data-driven industry, especially in areas like payments where milliseconds matter, access to high-speed, low-latency digital infrastructure is critical.
Many FinTechs start in the public cloud, but as they scale, they often encounter spiralling costs. With lean teams and limited internal infrastructure expertise, these companies sometimes make suboptimal infrastructure decisions that don’t support long-term growth. Without access to tailored digital infrastructure, they eventually hit a ceiling.
FinTechs are also grappling with increasing compliance and security pressures. New regulations like DORA (Digital Operational Resilience Act), while not affecting all FinTechs, are putting pressure on many of them to adopt secure, compliant infrastructure. Therefore, ensuring resilience and security at scale has become a fundamental requirement.
Data centre scarcity and cost pressure
Traditionally, London has been considered the UK’s FinTech hub, with the Silicon Roundabout being the birthplace of several well-known FinTech brands. However, space in data centres around London to support these companies is increasingly scarce due to high demand from financial services, hyperscale cloud providers, and tech firms clustered in the region. This demand is compounded by limited available land, strict planning regulations, and power supply constraints, particularly in areas like West London where the grid is under pressure. As demand grows, so will prices, placing traditional London-based data centre access beyond the reach of many start-ups. This creates a clear opportunity for the North to offer more affordable, scalable alternatives.
What can be done: infrastructure solutions that unlock growth
One of the recommendations in the Whitecap report is to support the scaling of high-growth firms, so we must build a digital infrastructure that matches scale-up needs. This includes investment in regional connectivity and edge computing.
Infrastructure providers like Pulsant are already helping with this. For example, with LinkPool, a smart contract infrastructure provider based near Rotherham. LinkPool faced the challenge of bridging the gap between data sources and cryptocurrency contracts. Pulsant cut cloud costs by 85% while improving network performance by migrating LinkPool to its platformEDGE.
Education also needs to play a greater role. Many FinTechs lack the knowledge to choose infrastructure aligned with their current and future needs. Mentoring initiatives, whether government-led or industry-driven, should include guidance on infrastructure, cost management, and compliance.
Overall, with improved infrastructure and lower operating costs, the North could become a magnet for scale-ups priced out of London, supporting a more diverse and resilient national FinTech ecosystem.
The wider benefits of levelling up
If digital infrastructure in the North is brought up to par, it has the potential to unlock significant growth for regional FinTechs. This extends beyond technology, it’s about jobs, investment, and economic resilience. With the right support, the North can become a FinTech powerhouse in its own right, helping to deliver on the promise of a truly levelled-up UK economy.
