Jack Ma-owned London fintech World First shifts Asia business away from UK oversight in major shake-up
Jack Ma-owned London fintech World First shifts Asia business away from UK oversight in major shake-up
London-based fintech World First, which is owned by Chinese billionaire Jack Ma’s Ant Group, has shifted its Asia business away from UK oversight in a major restructuring. The move comes as Ant Group faces increasing scrutiny from Chinese regulators and tensions between the UK and China continue to rise.
World First was acquired by Ant Group in 2019 for a reported $700 million. The company provides international money transfer and payment services to businesses and individuals around the world. It has a large presence in Asia, with offices in Singapore, Hong Kong, and mainland China.
The restructuring was first announced in World First’s annual accounts for the year ending March 31, 2022. The accounts show that the company has transferred a number of key functions from its UK headquarters to its offices in Hong Kong and Singapore. These functions include risk management, compliance, and customer support.
World First has said that the restructuring is designed to “simplify its business structure and improve efficiency.” However, the move is also likely to be seen as a way for Ant Group to reduce its exposure to UK regulation.
The UK’s Financial Conduct Authority (FCA) is one of the most stringent financial regulators in the world. The FCA has been increasingly cracking down on fintech companies, and has recently introduced a number of new rules to protect consumers.
Ant Group has faced a number of regulatory challenges in China in recent years. In 2020, the Chinese government forced Ant Group to abandon its plans for a $35 billion IPO. The Chinese government has also introduced a number of new rules to regulate the country’s fintech sector.
The shift of World First’s Asia business away from UK oversight is a significant development. It is a sign that Chinese fintech companies are increasingly looking to reduce their reliance on Western markets. It is also a sign that the UK government is facing increasing competition from other countries to attract and retain fintech businesses.
Implications for the UK fintech sector
The shift of World First’s Asia business away from UK oversight is a blow to the UK fintech sector. World First is one of the largest fintech companies in the UK, and its decision to move its Asia business away from UK oversight is a sign that Chinese fintech companies are increasingly looking to reduce their reliance on Western markets.
The move is also a sign that the UK government is facing increasing competition from other countries to attract and retain fintech businesses. The UK’s Financial Conduct Authority (FCA) is one of the most stringent financial regulators in the world, and a number of fintech companies have complained that the FCA’s regulations are too burdensome.
The UK government needs to do more to attract and retain fintech businesses. The government should work with the FCA to develop a regulatory framework that is both supportive of innovation and protects consumers. The government should also invest in education and skills training to ensure that the UK has a workforce that is qualified to work in the fintech sector.
The shift of World First’s Asia business away from UK oversight is a significant development. It is a sign that Chinese fintech companies are increasingly looking to reduce their reliance on Western markets, and that the UK government is facing increasing competition to attract and retain fintech businesses.
The UK government needs to do more to attract and retain fintech businesses. The government should work with the FCA to develop a regulatory framework that is both supportive of innovation and protects consumers. The government should also invest in education and skills training to ensure that the UK has a workforce that is qualified to work in the fintech sector.