CROWDFUNDINSIDER · 2026-10-24 15:23 UTC

Perspective: The Sandbox Paradox – Where innovations go to die – how, why and what got forgotten

UK fintech investment dropped to £1.8bn in H1 2026, the lowest since 2016, despite the country's regulatory sandbox model that produced Monzo, Revolut, Starling, and Wise. Founders report that regulatory sandboxes have become 'where innovations go to die,' with some firms waiting 2+ years without exit or verdict. The article argues the sandbox was a tool that overshadowed the FCA's internal Innovation Unit culture, which may have been absorbed over time, and questions whether the engine driving UK fintech leadership still exists.

Loading the story on Tree News…