Madrid is the sixth most attractive city in Europe for the fintech sector according to the ranking prepared by Savills Aguirre Newman European Fintech Occupier Index, in which the consultancy classifies the most attractive European cities for fintech based on four main criteria: demographics, talent and innovation, green financing, and affordability and business environment, where the variables of cost per employee and per workspace enter, among others.
After analyzing 16 variables in 23 key European cities, London, Paris and Berlin top the list, followed by Amsterdam -which has experienced accelerated growth in the last year-, Dublin and Madrid.
Fintech companies, which create technology designed to improve and automate the provision of financial services, are gaining more and more followers among consumers and companies to improve the management of their financial operations, transforming the traditional landscape of the sector. In the last three years, the proportion of European consumers who plan to use digital banking exclusively has increased from 49% to 62%.
Fintechs that are in the early stages need to be close to a sufficient critical mass of financial companies and technology clusters in order to grow. London (770,000 jobs), Paris (579,000 jobs) and Madrid (289,000 jobs) are the European cities with the most workers dedicated to the fintech industry and those with the highest levels of economic production in this sector in Europe.
London, Paris, Madrid and Berlin also scored well due to the size of their workforce. Fintech companies are concerned with attracting the best talent at a profitable cost, since the cost per employee represents approximately 55% of the total costs of a company, according to BCO estimates.
