Key facts about UK-based financial and related professional services 2022

The UK-based financial and related professional services industry continues to support individuals and businesses in their dayto- day activities through familiar services like saving, mortgage provision, and business lending.

Broadly speaking, the industry has exhibited relative stability throughout the pandemic period, registering a smaller-than-average contribution to the overall economic contraction in 2020 and also a smaller-than-average contribution to growth in 2021. This relative stability likely reflects in part the essential nature of much of the industry’s output and continued (indeed, in some cases increased) demand for its products and services. Financial and related professional services contributed £261bn to UK gross value added (GVA) in 2021, representing around £12 of every £100 of economic output. This characteristic means that it is wellplaced to weather the myriad economic and geopolitical challenges the coming year is set to deliver, and to continue to support UK consumers and businesses in ways that can help them maximise their own output and productivity.

Over 2.2 million people in the UK work in financial and related professional services 

This accounts for 1 in 14 people in employment, with two thirds of this employment based outside of London 

Financial services has more than 1m people in employment: 

banking – 382,000 

insurance – 324,000 

fund management – 63,000 

other financial services – 273,000 

Related professional services has over 1.2 million people in employment: 

management consultancy - 465,000 

accountancy - 421,000 

legal services - 318,000

Employment by sector in UK financial and related professional services, % of total industry employment, 2020 

Source: TheCityUK calculations based on data from Nomis and the Northern Ireland Business Register and Employment Survey

Financial and related professional services contributed £261bn to UK GVA* in 2021, representing around £12 of every £100 of economic output 

*Gross value added 

UK-based financial and related professional services generated a trade surplus of £90.5bn in 2020 

In 2020, UK private equity funds invested £25.1bn in more than 1,300 UK companies 

UK fund managers helped to protect and grow around £11trn in financial assets in 2020, up from £10trn in 2019 

The outstanding amount of loans made available by major banks to UK businesses was £525.5bn at the end of 2021 

• 0.7% less than in 2020

• 40.1% of this was lent to SMEs 

LawTech businesses in the UK received around £674m in investment as of December 2020 

Enhancing customer experience through digital financial services

The number of annual transactions made with contactless payment cards was 9.6bn in 2020, up 12% from the previous year 

In 2020, the number of payments via the FPS* reached almost 3bn

*Faster Payments Service 

72% of the population used online banking and 54% used mobile banking in 2020 

Cash payments decreased by 35% in 2020 from the previous year