Top level findings From the data we have found that: 01. The U.S. and UK dominate payments in western markets • 90% of PayTech start-ups originate in the US or the UK 02. The UK is the second most attractive place globally to set up a payments business after the US. While the proportion of UK PayTech start-ups appears to have doubled between 2010 and 2014 while the US remained fairly stable, the US still accounts, however, for twice as many PayTech start-ups as the UK. In our study of published source material, we found that: • In 2010, 58% of PayTech start-ups were in the US. and 12.5% were in the UK • In 2014, 61% of PayTech start-ups were in the US. and 28% were in the UK 03. Investor interest in UK payment businesses has increased, with seed funding more than doubling between 2010 and 2014. • In 2010 and 2011, UK seed funding averaged at $0.84m and grew to $1.8m in 2014 04. The UK is now on a par with the US when it comes to seed funding: • In 2014 US seed funding averaged $1.9m compared with $1.8m in the UK 05. Of the payments companies we studied, those in the UK have remained independently active for longer than US players • 43% of the US PayTech companies which were established in 2010 have either closed or been acquired • 100% of the UK PayTech companies included in this survey are still independently active EPA WHITE PAPER, PAYTECH INVESTMENTS, COPYRIGHT © MAY 2016 5