Delio Calls for Smarter Regulation and Investment Incentives to Boost UK Fintech Growth

Delio, a leading Welsh fintech, is calling for smarter regulation and stronger investment incentives to ensure the UK fintech sector continues to thrive. As a specialist in private markets investment infrastructure, Delio plays a key role in connecting investors with alternative assets. With the UK fintech sector experiencing a five-year funding low in 2024, Delio is advocating for greater regulatory support to drive growth—particularly outside of London.

These insights were shared in a recent Tech Funding News report, which analysed the UK fintech ecosystem’s performance in 2024 and gathered perspectives from industry leaders, including Delio.

UK Fintech Faces a Changing Investment Landscape

According to Tech Funding News, while early-stage fintech investments rose by 19% in 2024, late-stage funding declined by 13%. Increased regulatory scrutiny, macroeconomic challenges, and investor caution have contributed to this shift.

Despite these hurdles, fintech innovation remains strong, with new unicorns emerging and alternative lending attracting significant investment. However, Delio believes that a more balanced regulatory approach and targeted investment incentives are crucial to ensuring long-term sector growth.

Delio’s Perspective on Regulatory Evolution

Gareth Lewis, Co-Chief Executive at Delio, shared his thoughts in the Tech Funding News article, stating:

“The UK government has recognised its heavy emphasis on risk regulation over growth regulation, with clear consequences. More support is needed for fintechs,
particularly outside London. Smarter regulation and stronger investment incentives should boost growth as we enter H2.”

Delio’s expertise in private markets investment infrastructure highlights the importance of balancing regulation with innovation.
As the fintech landscape evolves, it is vital to ensure a regulatory environment that encourages fintech development beyond London, particularly in Wales, where fintech firms like Delio are driving innovation.

The Path Forward: Fintech Innovation and Regional Investment

The Tech Funding News report also underlines the regional funding disparity in UK fintech. London continues to dominate, securing 94% of UK fintech investment in 2024.
Delio, along with other industry leaders, is calling for greater regional investment to support fintech hubs across the UK, particularly in Wales.

As fintech companies increasingly integrate AI-driven solutions and expand into alternative lending, wealth management, and embedded finance,
Delio believes that the right regulatory and investment framework will be essential to unlocking the industry’s full potential.

Read the Full Report on Tech Funding News

For a deeper insight into the UK fintech sector’s performance and industry perspectives, check out the full article on Tech Funding News: 🔗 Read the full article here

Stay Connected with Fintech Wales

Fintech Wales remains committed to supporting its members, including Delio, in advocating for a stronger fintech ecosystem in Wales and beyond.
Follow Fintech Wales for the latest insights and developments in the sector.