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Dev-Bank Wales MBO
7 May 2024

Fintech Funding – Some Good News But Could Do Better


Sarah Kocianski
Fintech Wales

In order to secure essential funding for Welsh fintechs, we actively cultivate relationships with investors of all kinds so that we can pass on opportunities to our members — from VCs to PE, and the Development Bank of Wales to the British Business Bank, we work with them all. 

The Welsh investment landscape is broad and offers options for fintechs of every shape and size. As evidence of this, so far in 2024 we’ve seen digital accountancy firm Mazuma get funding from the Innovation Investment Capital fund created by Cardiff Capital Region (CCR) and powered by PwC.

Insurtech’s latest round, meanwhile, came from VCs and the Angels Invest Wales (AIW) network, and compliance management company Validient secured capital from the Development Bank of Wales and investment management firm Wesley Clover.

In addition to the funding sources mentioned above, we were pleased to see the announcements last year of the British Business Bank’s £130 million Investment Fund for Wales and the UK-wide £1 billion Fintech Growth Fund. We’re keen to see as much of these funds being invested into the Welsh fintech ecosystem as possible, and we therefore work closely with the managers of both to ensure they are aware of the fintechs looking to raise in Wales.

However, all is not rosy in the world of fintech fundraising. Funding for companies in our segment dropped across the world again in 2023, according to many different sources, after first showing a decline in 2022. Wales is not immune to this global trend and as a result, FinTech Wales is increasing its efforts with regard to investor engagement. We are pursuing every avenue when it comes to helping our members secure the capital they need.

Our exclusive Cardiff screening of Show Her The Money, a film that explores the acceleration of female founded funds looking to level the playing field between male and female founders, is one example of our activity in this area. Female founders receive around just 2% of all VC funding, a figure that has decreased over recent years. This is problematic for founders, of course, but also for the economy because research shows women-owned businesses generate higher revenues than their male counterparts.

Show Her The Money highlights investors who are trying to change the status quo, and while this initiative is focused on how that relates to gender, our support of it is indicative of our desire to contribute to change across the board. Welsh fintechs have historically attracted less than their fair share of funding in comparison to their peers elsewhere, and we are dedicated to changing that. Stay tuned for more details about our investment related activity this year.

If you would like to book a place at the exclusive Cardiff screening of Show Her The Money visit:

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