Posted: 29 Nov 2022 Resource Type: Thought Piece Back In 2022, City of London Corporation, Innovate Finance and Grant Thornton UK LLP jointly launched a survey to understand challenges, opportunities, and the priorities which currently characterise the regtech ecosystem. The partners surveyed a variety of participants including regtech buyers, vendors, regulators and trade associations. The aim of the survey was to provide industry insights which can help us elevate, strengthen and generate more awareness of the industry. This insight project is an important step in ensuring the UK remains one of the leading markets for regtech innovation, adoption and benefits realisation. The results will shape our thinking for future work which will help amplify the voice of the sector. An outline of findings is set out below: There is a need for regtech industry representation. When buying new regtech, 1 in 4 firms advise integration with existing systems is key, with 22% considering ease of use key as well. There is clear message from the market that regtech users would be motivated to invest more into regtech if they had clearer signals from regulators to show support for regtech solutions. The top 2 areas of investment over the next 12 months for regtech users is combatting financial crime and horizon scanning. 65% of regulated firms anticipate more regulatory obligations in 2023/24. 55% expect this to be less than 20% more than the previous year. Only 50% say they will invest more in regtech solutions 2023/24. The main business areas of focus for regtech firms is acquiring new clients (30.4%), product development (25%), and servicing existing clients (17.9%) 4 areas accounted for over 75% of the biggest challenges, according to respondents. These items are access to capital, consumer confidence, availability of talent/skills and geo-political volatility. Horizon scanning was the biggest area of challenge and the element that was rated highest in priority for the regulatory environment. A key point to note is that financial crime featured in the top 10 but not the top 5. For more information contact us on: colregulatoryaffairs@cityoflondon.gov.uk Share: Share to LinkedIn LinkedIn Share to Twitter Twitter Share to Facebook Facebook Share to WeChat WeChat Share to WhatsApp WhatsApp Share to Email Email Related content Case Study Investing for the long term: boosting returns for pension savers Oct 2023 - UK pension savers are locked out of benefitting from the growth of firms in some of the UK’s most vibrant industries. At the same time, these dynamic, growing firms can have trouble accessing the capital they need to grow domestically. Investing for the long term: boosting returns for pension savers Thought Piece Synthetic data solutions: the regulator's progressive mission for combating APP fraud Sep 2023 - Synthetic data-sets provide a ground-breaking tool to help firms test and scale innovative solutions to combat fraud. The FCA and the City of London are delivering a synthetic data-set, focused on Automated Push Payment (APP) fraud solutions, to be hosted on the FCA’s permanent sandbox. Synthetic data solutions: the regulator's progressive mission for combating APP fraud Case Study Carbon Clean │ delivering industrial decarbonisation Sep 2023 - We spoke to Iain Tobin, Chief Corporate Officer at Carbon Clean, about the growing role carbon capture will play in combatting climate change. Carbon Clean │ delivering industrial decarbonisation Case Study Managed Funds Association ⏐ supporting alternative asset managers around the globe Sep 2023 - We spoke to Jillien Flores, Head of Global Government Affairs at the Managed Funds Association about growing demand for alternative investments and the UK's role there. Managed Funds Association ⏐ supporting alternative asset managers around the globe