70% of the total capital raised by all private European Fintech companies in 2017 1Q went to companies based in … have you written your list? — London, Berlin, Stockholm, Paris, Barcelona and Amsterdam, according to research released by Fintech Global. More than a third of the aggregate of $1.164m in Fintech investments was claimed by London-based Fintech companies (36% of the total), three times the amount raised by companies located in second-ranked Berlin (12%).
The major change seen in the distribution of investments by city in Q1, 2017, compared to the previous three years, was that Berlin doubled its share from 6% to 12% at the expense of cities ranked outside the European top 10, which fell from an aggregate of 31% to 25%.
Given the economic benefits of developing a vibrant Fintech ecosystem are very attractive, it’s no surprise the rivalry between European cities to attract capital and talent is intense, commented FinTech Global. The figures show London has proven to be resilient to the Brexit vote of June 2016 and that other European cities made huge strides in raising their levels of activity. Whether London can stay so far ahead of the pack after last week’s UK general election remains to be seen as the competition between European cities intensifies further.
FinTech Global ranked the top 10 European cities by total capital invested in Fintech companies in Q1 2017 as follows:
Ranking, City, Capital invested in Q1, 2017 (USD, million)
1, London, 421
2, Berlin, 140
3, Stockholm, 96
4, Paris, 79
5, Barcelona, 51
6, Amsterdam, 36
7, Zurich, 25
8, Oslo, 17
=9, Dublin, 3
=9, Copenhagen, 3
The research data comes from the Fintech Global database, which providesintelligence and analytics on trends, deals and companies across global FinTech sectors.