FinTech saving UK businesses £4.6bn every year

Two-thirds of UK businesses have adopted at least one financial technology application, saving an average of £5,500 in the process, according to research from MarketInvoice.

 

Friday 6

FinTech saving UK businesses £4.6bn every year

That equates to approximately £4.6bn saved collectively each year as a result of FinTech, with a fifth of the firms studied saying they had incorporated at least four different products or services.

 

In terms of awareness, it was found that technology is increasingly impacting firms’ operations and services, with 77% of the companies studied now familiar with FinTech.

 

“The expansion of tech-driven digital services has been remarkable over the past five years,” MarketInvoice CEO, Anil Stocker.

 

“We know that consumers have been adopting tech applications into all parts of their lives, but our research shows that now UK businesses are also becoming tech-savvy.”

 

It was found that almost a quarter of UK businesses are using FinTech services for banking transactions, while 16% use it for foreign exchange services.

 

However, the technology is also being used to engage staff, with 62% of firms adopting it for employees to report expenses and for payslip automation.

 

Some 56% of businesses leaders said they were drawn to FinTech because it saves time and money, while a third were impressed by the user experience, and a quarter thought it increased transparency on fees.

 

“Fintech applications are revolutionising the way business is being done from how employees report their expenses to the way businesses report their financial performance,” Stocker continued.

 

“Entrepreneurs always seek out the best means to drive their businesses and clearly FinTech products and services are becoming a stable part of this approach.”

 

In addition, a tenth of the firms studied reported using bitcoins or other cryptocurrencies at some point in the past year for processing payments.

 

Although 89% have not used the digital currencies, a fifth of these businesses expect them to feature in their payment transactions over the next 12 months.

 

Most popular

  1. Blockchain identified as bridge to younger generation for insurers

    Harnessing the power of blockchain technology could transform the way protection insurers create products, making them more relevant and appealing to younger people.

     

    Wednesday 13

    13 December 2017

  2. SME insurance market set for digital transformation as more firms buy online

    Small firms are increasingly looking to interact with their insurers online, suggesting the market is set to experience a similar digital transformation to the one seen for personal insurance.

     

    Monday 4

    04 December 2017

  3. Loss of brand reputation fuelling growth in cyber insurance market

    The global cyber insurance market was valued at $3.4bn (£2.5bn) last year, but is set to more than quadruple to $16.9bn by 2023, according to a report from P&S Market Research.

     

    Wednesday 29

    29 November 2017

White paper

  • Quarterly InsurTech Briefing Q1 2017

    Why InsurTech? A Pressured Insurance Value Chain

    By Andrew Sagon, Andrew Johnston and Matthew Wong

    InsurTech is a burgeoning phenomenon that is modernising the insurance industry. It is disrupting the traditional value chain whereby insurers offer loss protection, and shifting the emphasis to risk mitigation. Incumbents face disintermediation as investors in search of higher yields pour money into insurance-linked instruments in the capital markets. And entrepreneurial businesses are targeting friction costs and inefficiencies within every aspect of the traditional value chain.

     

     

  • Insurance big data – float like a butterfly, sting like a bee

    Nimbleness and agility will unlock potential

    By Elinor Friedman, Andrew Harley and Klayton Southwood

    Recent Willis Towers Watson surveys in the U.S. have shown that P&C and life insurers in developed markets are taking seriously the potential of big data and predictive analytics to improve their businesses. Nimbleness and agility, rather than brute force, are likely to be key to realizing that potential.

    Download PDF

  • The new era of insurance analytics

    Driven by technology, toolkits and talent

    By Claudine Modlin and Graham Wright

    Advanced analytics is helping some insurers offer innovative products and solutions. What do insurers need to know about the changing nature of analytics and whether it is worth the investment? Claudine Modlin and Graham Wright discuss technology, toolkits and talent — topics that may help you decide.

    Download PDF

  • How can we manage the dynamic nature of cyber-risk?

    Risk transfer is part of a comprehensive solution

    By Adeola Adele, Patrick Kulesa, Kevin Madigan and Alice Underwood

    Given the dynamic nature of cyber-risk, taking a multidimensional approach that integrates board governance, technology solutions, behavioral change and risk transfer solutions can help reduce risk to a manageable level.

    Whitepaper Form