UK fintech funding nudged up by 2.2pc year on year in the first quarter of 2019 to $645m (£497m).

Venture capitalists invested across 42 deals, cementing Britain as the top fintech market in Europe.

Britain is the home of four fintech unicorns (companies valued in excess of $1bn): SME lender OakNorth, valued at $2.4-2.8bn, TransferWise ($1.6bn), Revolut ($1.7bn) and Monzo ($1.3bn).

The UK accounts for 11pc of the global fintech industry, employing more than 75,000 people with a forecast to surge beyond 100,000 by 2030.

Germany was the second top market in Europe, with $588m invested across 15 deals, according to CB Insights, a research company which tracks VC and start-ups. Berlin-based challenger bank N26 became the Germany’s first unicorn in Q1 2019 following a $300m investment, valuing the business at $2.7bn.

As a whole, $1.7bn was invested in European fintech across 102 deals, up 58pc quarter on quarter from $1.08 invested in 82 deals in Q1 2018.

Global VC fintech funding was worth $6.3bn in Q1 2019, a drop of 13pc year on year, although the number of deals (445) increased 4pc quarter over quarter.

India was the top Asian market for VC-backed fintech funding in Q1 2018 with $286m in funding, surpassing China with $192m — a drop in investment of 89pc. India and China both saw 29 deals. As a whole, $875m was invested in Asian fintech through venture capital, the first time less than $1bn was invested in the region in five quarters.