United Kingdom and South Korea have installed a fintech investment planned to make it accessible for both countries to invest in the prospering financial technology sector. The cooperation agreement, which follows similar deals with Australia and Singapore this year, will give British fintech companies and capitalists access to the Asian market and would attract Korean companies and capitalists to Britain. United Kingdom has become the global capital for fintech, which is shaking up the traditional banking and financial services industry. More people work in the UK industry than in New York, or in Singapore, Hong Kong and Australia put together. Last year the sector hired over 60,000 people in Britain and produced 6.6 billion pounds ($8.7 billion) in revenue, according to the Treasury statement. The newly established fintech bridge between the UK and the Republic of Korea is an important step for one of this country’s most exciting industries, said Philip Hammond, finance minister of UK.
The government is determined to help the UK fintech sector to innovate and grow and to ensure that Britain remains the location of choice for fintech start-ups. Britain’s vote to leave the European Union last month has caused some worries that start-ups will move. Financial firms rely on the EU’s passporting system, which allows them to sell their services across the bloc while being registered and regulated just in UK, thus saving big loads of money by not having to set up shop in each member community.Ten London-based fintech start-ups have already made enquiries about moving to Berlin since the vote for Brexit. The cooperation agreement has regulatory approval from Britain’s Financial Conduct Authority (FCA) and the Korean Financial Services Commission (FSC), and will enable the regulators to share information about financial innovation in their respective markets. Although Korea is a beginner to fintech, we have been focusing on developing a regulatory environment that supports rapid growth,” said FSC Chairman Yim Jong-yong. The fintech bridge … is another step in strengthening the strong financial relationship with both parties.