The Industrial Strategy is a 10-year government plan to boost investment and grow future industries in the UK. It promises to make it easier and more stable for businesses to invest for the long term. This isn’t a fintech-only plan – it targets eight “growth-driving” sectors (including Financial Services and Digital & Tech) – but fintechs should pay attention.

Many of the measures (on funding, data, regulation, skills, trade, etc.) directly affect tech startups and finance innovators. In short, the strategy calls financial services a core sector and wants the UK to be a global fintech hub, and it ramps up support for digital technology and data.

Fintech and Digital Sectors Are in Focus

Financial services is explicitly one of the eight target sectors, and the strategy pledges to “maintain and grow the UK as the world’s leading Financial Services hub, including by… cutting red tape for FinTech firms and driving forward initiatives to open up more private capital.” In other words, FinTech is name-checked: the government wants to regulate for growth and make the UK even more fintech-friendly.

“As major initiatives, we will maintain and grow the UK as the world’s leading Financial Services hub, including by rebalancing to regulate for growth, cutting red tape for FinTech firms, and driving forward initiatives to open up more private capital.”

– UK Modern Industrial Strategy (2025)

Likewise, the Digital and Technologies sector is getting major backing – e.g. big R&D investments in quantum computers and AI. Tech founders should take note: the government is pouring resources into the same tech building blocks that fintechs rely on.

Access to Capital and Funding

Fintech founders need money, and the strategy signals a big funding boost. The government will expand the British Business Bank and other funding vehicles. For example, it plans to increase the Bank’s capacity and inject an extra £4 billion aimed at these eight sectors. It’s also tapping the National Wealth Fund (bringing its £27.8 billion to bear) and planning to increase UK Export Finance’s limits. In practice, this means tens of billions of new investment is expected. (As one press release noted, the Bank’s capacity is rising to £25.6 billion, unlocking roughly £2.5 billion of investment each year and crowding in “tens of billions” more private capital.)

The bottom line: the pipeline of startup and scale-up funding is getting larger – from loans and equity to new co-investment funds – making it easier to raise growth capital for fintechs.

Data, AI and Innovation

The strategy treats data and technology as national assets. It explicitly says the UK will “treat data as an economic asset” – extending Smart Data schemes across industries, improving high-quality data sharing, and licensing public data for innovation. In practice, that means new smart data initiatives (beyond open banking) in sectors like property and energy, backed by legislation (a Data Use and Access Act was announced) and funding.

On the tech side, there’s an AI and quantum arms race. The plan funds a £500 million Sovereign AI Unit (from the Spending Review) and lays out a clear timeline for AI “growth zones.” There’s also £670 million for quantum computing and tens of millions for AI skills.

In total, government R&D is getting a massive £86 billion boost focused on the key sectors. For fintech founders, this means more open data to build on, and plenty of support if you use AI, machine learning, blockchain or other cutting-edge tech.

Cutting Red Tape and Boosting Skills

The strategy promises serious regulatory reform to speed innovation. It aims to “cut the administrative costs of regulation for business by 25%,” reduce the number of regulators, and use a new Regulatory Innovation Office to clear the path to market for startups. Specifically for fintech, it vows to “cut red tape for FinTech firms.” Expect simpler rules and a faster approval process for new financial products and tech services.

On the talent side, the plan boosts tech and finance skills: it reforms the training and visa systems to build a pipeline of engineers, data scientists and fintech specialists. Measures include expanded tech courses, more digital and engineering apprenticeships, and a new Global Talent Taskforce to attract skilled workers from abroad.

In short, finding and training talent should get easier over the next decade.

Trade, Open Markets and Partnerships

Finally, the Industrial Strategy is pro-trade and pro-growth globally. It reaffirms that the UK will champion open markets and new free trade deals.

The plan specifically promises “strong international partnerships” and new trade arrangements (with the US, India, EU etc.) as a way to promote the UK’s tech industries. Export financing is also expanding (to help UK businesses sell overseas).

In plain terms: fintechs will benefit from more export support and new markets abroad. The government also talks about global tech partnerships (like the Industrial Strategy partnership with Japan) to attract investment and share innovation. For startups, this means better access to talent and customers worldwide, not just at home.

Key takeaways for fintech founders

• Big picture: This 10-year plan aims to grow future industries by cutting red tape, investing in R&D, and making investment easier. It’s about creating stability and confidence for long-term projects.
  
  
• Our sector matters: Financial services (including fintech) and digital tech are explicitly highlighted as core sectors. The UK wants to be a global fintech hub and is backing it with resources.
  
  
• More funding: Expect more capital availability – from the British Business Bank (now ~£25.6bn capacity) to private co-investment funds. The government is unlocking £billions in growth capital for IS-8 sectors.
  
  
• Data and AI: The strategy expands Smart Data schemes and funds AI. It treats data as an asset and pours money into AI labs, growth zones and quantum computing. Fintechs doing data-driven or AI work stand to gain.
  
  
• Regulation & skills: The government will slash regulatory costs by 25% and specifically trim fintech red tape. It also boosts tech training and talent visas, so hiring tech-savvy people should get a bit easier.
  
  
• Trade & open markets: The UK will push new trade deals and make export finance easier. This means broader markets and funding support for selling fintech services overseas.
  
  
• Innovation incentives: A huge R&D pot (£86bn) and tax incentives (like full expensing at 25% corporate tax) will be targeted at priority areas. In practice, there will be grants, tax reliefs, and prizes for tech innovators.
  
  

 Global policy changes = new fintech opportunities. Whether you’re scaling in or out of the UK, we can help you align your strategy with the bigger picture. Contact us.