Thank you to Suzie Miles, Senior Associate, Ashfords for providing us with this guest blog as part of FinTech month at techSPARK.
The fintech sector stands on the brink of another transformative year. Following a period of regulatory breakthroughs and rapid technological advancement in 2025, the industry now faces the challenge—and opportunity—of embedding these changes into everyday operations.
In 2026, the focus will shift from experimentation to integration, as firms strive to deliver financial services that are instant, seamlessly connected, and deeply consumer-driven. Against a backdrop of evolving regulation and heightened expectations for resilience, the coming year promises to redefine how businesses and consumers interact with finance.
So what does 2026 have in store for the fintech sector?
Open Finance and Smart Data: From Concept to Reality
The UK’s Data (Use and Access) Act 2025 introduced Smart Data schemes, extending Open Banking principles into Open Finance and driving forward our “smarty data economy”.
The disruption in wealth tech has already been substantial but open finance lends itself to hyper personalised investment strategies and finance products and coupled with access to real time data the opportunities to better support vulnerable individuals and drive forward financial inclusion will be a welcome opportunity.
The FCA plans to publish its Open Finance roadmap in March 2026 which will further support the evolving regulatory framework within which a vast amount of data can be shared across the industry.
Payments Regulation: Payment Services Directive 3/Payment Services Regulation
2026 will see a new wave of financial services regulation being rolled out as the EU reached political agreement on PSD3/PSR, tightening fraud liability, mandating name-IBAN checks and strengthening consumer protection. While UK firms aren’t directly bound by the Directive, any UK fintech with EU operations will need to adapt to these standards, which, given the international nature of payments will inevitably influence the UK market.
Payment service providers face significant operational changes and associated compliance costs related to updating infrastructure to meet new security, reporting, and data-sharing obligations with increasing regulatory standards around consumer duty, operational resilience and wind down planning.
The Payment Association found that “the UK’s fintech sector is losing ground globally due to regulatory friction, reduced tax incentives, and uncertainty around digital asset policy.” In light of this, a key theme for 2026 will be turning this regulatory compliance into a commercial asset, differentiating from both competitors in the UK market but also global markets, leveraging the consumer and investor trust gained from the robust controls and operational resilience. This trend is already beginning, with an uptick in reg-tech and compliance infrastructure which is being treated not as an expense but as a driver of long-term, scalable growth.
Crypto and Digital Assets: A step towards normalisation
I couldn’t look ahead to 2026 and not mention digital assets. 2026 will see the end of any applicable transition phases under the EU’s MiCA regime, and will see the impact of the UK’s Property (Digital Assets etc) Act 2025, which clarified crypto assets as personal property—a major legal milestone. This legal clarity is anticipated to boost investment in the digital assets market in 2026 and position digital assets as more mainstream components of the financial system.
2026 will also see further progress from the UK regulators – the Financial Conduct Authority, Prudential Regulation Authority and Bank of England in establishing a new regulatory regime for cryptoasset and stablecoins – you can read more about developments in our recent thinkpiece as part of our fintech editorial month with techSPARK.
Real-Time Payments: no longer the exception
The global market for real-time payment infrastructure is booming, driven by demand for 24/7 settlement, cross-border transfers, and on-demand access to funds.
We already have the benefit of the Faster Payments Scheme in the UK, however other markets are still playing catch-up here. Coupled with the continued growth in stablecoins, the landscape in 2026 looks to be marked by seamless and invisible financial processes that fundamentally change the way that parties interact with financial services, particularly in terms of money remittance and cross-border payment offerings in markets with less sophisticated payment infrastructure or in managing complex treasury and liquidity for businesses operating across multiple jurisdictions.
Embedded finance will also continue to see sustained growth and more tailored implementation, allowing consumers and businesses to interact with carefully designed and tailored financial services and products at the optimum point of the user experience, for example: sales or service journeys with retailers for insurance or lending and credit products; investment, wallet and currency exchange services via employee benefit platforms; and subscription management and bill payment automation in streaming apps; essentially more exposure to financial services through non-traditional means. It’s clear developments mentioned above in relation to Open Finance and Smart Data schemes will support progress here too.
Concluding…
As 2026 unfolds, the fintech landscape will be shaped by three defining forces: speed, integration, and consumer empowerment. From the mainstream adoption of Open Finance and real-time payments to the normalisation of digital assets and the strategic embrace of compliance as a competitive advantage, the sector is moving towards a future where financial services are not only faster and smarter but also more inclusive and trustworthy.
For firms that can adapt and innovate within this dynamic environment, the year ahead offers a unique opportunity to lead the charge in creating a financial ecosystem that is truly fit for the digital age.
For further information, please contact Suzie Miles, commercial/IT partner and head of the fintech sector at Ashfords.


