Financial companies risk losing 40% of their revenue due to fintech startups

Fearing the loss of a significant portion of their revenue due to competition from fintech startups, British financial companies intend to play it safe and create partnerships or even acquire potential competitors.

Of the 57 leaders of financial companies in the UK surveyed by PwC, 61% are confident that their companies' revenues will decrease by 40%, which significantly exceeded the losses expected by their colleagues in other countries of the world.

Almost half of British companies plan to acquire a fintech startup in the next 3-5 years, and 81% expect to at least start a strategic partnership by then.

Despite the expected losses, financial companies in the UK invest only 9% of their annual revenue in fintech and IT projects. For comparison, on average, companies around the world invest about 15%.

Source: PaySpace Magazine