Startups in the fintech sector make up close to a third of entries in Sifted’s inaugural leaderboard of the UK and Ireland’s fastest-growing startups. With 31 entries, it’s also the most populous vertical in the ranking — just ahead of the 25 B2B SaaS startups on the list.
The ranking compiles the top 100 startups with the strongest revenue growth over the past three financial years, ranking them by compound annual growth rate (CAGR) — the mean annual growth rate over a specified period longer than one year.
Neobank Allica Bank tops the list. It reported a CAGR of 1,438.91% after posting revenue figures of £48.3m in the financial year to December 2022, growing from £204k two years prior, per company filings. The banking startup, which caters to the small and medium enterprises (SMEs) market, has a CAGR of more than double of healthtech Artios Pharma, which took silver in the ranking with a CAGR of 697.38%.
Other notable fintechs in the top 20 include insurtechs YuLife and Marshmallow, along with lending business Tembo Money and buy now, pay later startup Zilch.
Startups were only eligible if founded in 2014 or after, were private and independent and could supply relevant data on revenue rates. Those who didn’t disclose such financial information on the UK’s Companies House were required to submit signed documentation to support the figures.
Allica’s position on the list lends credence to the continued strength of the UK and Ireland’s fintech sector, particularly in neobanking — with six other digital banking startups on the list. That is despite recent discourse from some corners of the UK fintech industry on whether it can keep its status as a European hub, with Paris, Amsterdam and Frankfurt vying for the crown.
Lending on London’s strength as a financial capital, the UK has produced some of the most notable startups and scaleups in the European fintech ecosystem, such as Revolut, Starling and Monzo. Some of the companies have since acted as so-called “founder factories”, producing entrepreneurs out of former employees.
Sifted Leaderboards do not claim to be exhaustive as private company data can be difficult to obtain. Leaderboards are based on historical financial data and do not guarantee future company performance.
