Joey Moore
Member
Market Overview
The Europe fintech market reached a size of USD 96.5 Billion in 2024. It is forecast to grow to USD 444.4 Billion by 2033, expanding at a CAGR of 17.58% during 2025–2033. Growth is driven by technology innovations in insurance, increased usage of digital devices to access internet services, and rising adoption of digital identity verification for efficient operations.
Study Assumption Years
- Base Year: 2024
- Historical Year/Period: 2019-2024
- Forecast Year/Period: 2025-2033
- Current Market Size: USD 96.5 Billion in 2024
- CAGR: 17.58% during 2025-2033
- Forecast Period: 2025-2033
- The integration of artificial intelligence, blockchain, mobile technology, and data analytics enhances financial services and user experience.
- Rapid growth of digital payments, mobile wallets, and contactless transactions is fueling market expansion.
- Open banking and embedded finance are reshaping financial accessibility and customer engagement.
- Central bank digital currency trials are paving the way for new digital wallets and payment systems.
- The pandemic accelerated digital banking and cashless payment adoption across Europe.
Market Growth Factors
The Europe fintech market is driven by an increase in the adoption of technology-enabled solutions like digital underwriting, personalized insurance products, and others to bring efficiency and innovation to the insurance sector. The increasing internet penetration rate through smartphones, laptops, and tablets is leading to a hike in demand for cashless and contactless payments from consumers, thereby driving market growth. Furthermore, the growing adoption of digital identity verification systems provides an opportunity to increase the efficiency and transparency of cross-border financial transactions.
The advent of digital currencies and associated blockchain-based protocols to support decentralized finance (aka DeFi), along with the rapid adoption of mobile wallets, has contributed to the development of new and potentially increased demand for secure and convenient digital payment transactions (in response to the evolving demand for real-time and contactless transaction mechanisms by consumers). Open banking frameworks that increase access to credit, insurance and savings can help to promote financial inclusion.
One driver of growth has been instant payments, with rising consumer and business expectations of prompt transaction settlement. Other payment models, eg SEPA Instant Credit Transfer scheme, European Payments Initiative, offer faster payment and improved liquidity, especially for small and medium-sized enterprises. Embedded finance offers consumers better experience, loyalty, monetization and easier access to financial services in daily applications. Central bank digital currency (CBDC) pilots, meanwhile, are setting the stage for higher trust, secure fiat-backed digital currencies and the fintech innovations needed to improve security, trust, and efficiency for all the ecosystem's participants.
Market Segmentation
Deployment Mode Insights:
- On-premises: Solutions deployed on-site within client infrastructure, ensuring control and customization.
- Cloud-based: Fintech services offered via cloud platforms allow scalability, flexibility, and remote access.
- Application Programming Interface: Enables integration between different software systems enhances interoperability.
- Artificial Intelligence: AI-driven technologies for automation, decision-making, and predictive analytics.
- Blockchain: Distributed ledger technology supporting secure and transparent financial transactions.
- Robotic Process Automation: Automation of repetitive tasks to increase efficiency.
- Data Analytics: Techniques to analyze financial data for insights and improved service delivery.
- Others: Additional emerging technologies used in fintech applications.
- Payment and Fund Transfer: Solutions facilitate digital payments and fund movements.
- Loans: Platforms for lending with faster approvals and flexible terms.
- Insurance and Personal Finance: Technologies for risk management, claims processing, and personal wealth management.
- Wealth Management: Automated investment advisory and portfolio management tools.
- Others: Other fintech application areas.
- Banking: Financial institutions utilizing fintech for enhanced services.
- Insurance: Companies integrating fintech for underwriting and customer experiences.
- Securities: Firms using fintech for trading and investment solutions.
- Others: Additional end-user sectors.
- Germany
- France
- United Kingdom
- Italy
- Spain
- Others
The report highlights the United Kingdom, particularly London, as the leading fintech hub in Europe due to its established financial infrastructure, investor presence, and regulatory support for innovation. While specific market share and CAGR values by region are not provided, the overall European market is projected to expand significantly, driven by countries including Germany, France, Italy, and Spain. This regional concentration supports rapid fintech adoption and entrepreneurial growth.
Recent Developments & News
In June 2025, Deutsche Bank cooperates with Mastercard to enhance open banking payments by integrating Mastercard's technology into Deutsche Bank's Merchant Solutions, boosting secure account-to-account payments. The same month, Silverflow collaborated with Deutsche Bank to launch a cloud-native payments platform, improving merchant onboarding and authorization rates. In May 2025, the European Central Bank initiated an innovation platform for its digital euro pilot involving 70 banks and fintech firms. In November 2024, Revolut announced plans to expand Buy Now Pay Later services across Europe, strengthening its digital banking strategy.
Key Players
- Deutsche Bank
- Mastercard
- Silverflow
- Revolut
About Us
IMARC Group is a global management consulting firm that helps the world's most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, considerations studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.