Reflecting on an extraordinary year, looking to the future

For all the right reasons we’ve paused to reflect this week on the extraordinary year we’ve all had were the COVID-19 pandemic has touched all of us in some way, and we know for many it’s been extremely difficult. This past year has transformed nearly all aspects of life for many of us. And it’s been a year where technology and digital have been vital components for how we remain connected, work, learn and maintain access to the vital services we need.

Fintech Innovation has played an important role in helping us develop some of the new norms’ we first started talking about at the beginning of this pandemic. A year on and the fintech Community in Scotland has grown and evolved. It has also developed the propositions and services that have helped people and businesses maintain the access to vital financial services.

There’s a growing understanding of the fintech potential to make a difference through new technologies and access to data as well as determination in fintech businesses to build solutions that help future progress.

Scottish fintech innovations are looking to the future. Zumo’s hard work and smart money wallet and platform is transforming how we think about the future of crypto currency and money, with financial inclusion at its heart. Nudelaunched its app this week guiding students and newly employed to raise a deposit more quickly for their first home. Qpal is working to help those financially stretched or financially vulnerable and VistalWorks is working to protect people from fraud, keeping online shoppers safe from harm.

Scotland has an established and growing reputation for fintech for good, a point recently recognised in the recent UK Fintech Strategic Review, also known as the #KalifaReview. The Kalifa Review provided an opportunity to take stock of fintech across the UK and learn about the strengths and opportunities across all the regions. It positively identified the value of a Cluster model in helping economic growth and recognised Scotland’s fintech Cluster as a well-established environment for future fintech expansion.

The energy across Scotland’s fintech cluster offers the kind of practical support and determined optimism for more development and an ambition that sees us embrace more inspiring and often extraordinary opportunities as we look at the potential for cross sector innovation.  If we needed one, the Kalifa Review has given us even more impetus to harness the fintech opportunity for economic growth and social change.

We have another catalyst in the Scottish Technology Ecosystem Review, led by Mark Logan, the recommendations here set out a clear programme for collaborative action. It’s a call to action for us all and offers a future vision of how technology can help catalyse the post-pandemic recovery. This week’s announcement from Scottish Government confirmed its commitment to utilise the potential and support the broader opportunity to strengthen Scotland as a tech ecosystem.

If we needed an accelerant the COVID-19 pandemic has given us a year where we’ve experienced the power of digital and the role for technology. We’re learning from the experiences of the past and turn our attention to the hopes for the future. The Kalifa Review and the Scottish Technology Ecosystem Review have a number of common themes, apart from the obvious technology connection both call for action through collaboration to help us recover and embrace our full potential for an extraordinary future. Collaboration sits at the heart of what we do at FinTech Scotland and if you’re keen to hear more please get in touch.

Accelerating Scotland’s tech-led recovery.

Programme backed by £7 million funding in the first year.

A leading expert in scaling digital businesses has been appointed to oversee an ambitious programme to establish Scotland as a world-class technology hub. 

Mark Logan, former Skyscanner executive and Professor of Computing Science at the University of Glasgow, will advise ministers on implementing the recommendations stemming from his independent review of the Scottish tech ecosystem. 

The programme will be delivered with £7 million Scottish Government funding in its first year (2021-22). This will include a £1 million fund to make strategic investments in organisations and activities ”“ such as tech conferences, meet-ups or training programmes ”“ that create the best possible environment for Scottish start-ups to succeed.

Procurement for a network of growth-focused entrepreneurial hubs known as “tech scalers” will open for bids later this year. It is anticipated that there will be five scalers in different parts of the country by 2022, with the aim of supporting around 300 high-quality start-ups over the next five years.

Progress will be supported by a gender-balanced advisory board composed of some of Scotland’s most successful entrepreneurs and digital leaders including:

• Lesley Eccles, founder and CEO of HelloRelish and co-founder of gaming platform Fanduel
• Roan Lavery, co-founder of online accounting firm FreeAgent
• Sarah Ronald, founder of Nile HQ service design agency
• Stephen Ingledew, Executive Chair of FinTech Scotland

Finance Secretary Kate Forbes said:

“Mark is one of the most respected figures in Scotland’s tech scene and his experience, passion and global profile will be invaluable in our joint mission to elevate Scotland’s tech ecosystem to world-class level. 

“The expertise and industry perspective of the advisory board will also be instrumental in ensuring we create the conditions and infrastructure needed to incubate a stream of start-ups that reach sustained profitability and can do so at scale. 

“From attracting young people into computing science courses to supporting a community of high-growth businesses, this programme of work will be critical in determining the future contribution of Scotland’s tech sector to our economic recovery.”

Online travel businesses Skyscanner was Scotland’s first “unicorn” ”“ the industry term for a tech company valued at more than $1 billion. Professor Logan joined the firm as Chief Operating Officer in 2012 until its acquisition in 2017. 

Professor Logan said: 

“It’s very exciting to witness the shared sense of mission and ambition across government, industry and the education sector in bringing the tech ecosystem review’s recommendations to life. I’m pleased to have the support of such an experienced board as we strive to make Scotland a leading technology economy.”

Background 

Mark Logan’s Scottish Technology Ecosystem Review was published in August 2020 and the Scottish Government has committed to implementing its recommendations.

A full list of board members will be published ahead of its first meeting in May 2021. 

The £1 million Ecosystem Fund is expected to open for applications in summer 2021.

A document setting out the Scottish Government’s initial expectations of tech scalers will be published shortly and used as a basis for discussions with potential bidders.

Work to develop the technology sector will contribute to the successful delivery of Scotland’s updated digital strategy which was published this month and complements the artificial intelligence strategy published earlier this week

Picture Credit: Pexels