Yorkshire fintech secures £1.75m funding for credit union platform
A Yorkshire-based fintech behind a banking platform for credit unions and community banks has completed a £1.75m funding round.
incuto has secured investment from NPIF – Mercia Equity Finance, the government’s Future Fund, Ascension Ventures’ Fair By Design Fund and the North East Innovation Fund.
It will allow the Ilkley-based company to roll out its platform to more UK credit unions and prepare for overseas expansion.
It comes as the pandemic has increased demand for incuto’s technology by forcing many credit unions and community banks to rapidly digitise their services. The platform is now used by over 40 credit unions and has over 500,000 registered users.
incuto is the brainchild of CEO Andrew Rabbitt, who identified the need for a digital platform while working with credit unions. He joined forces with banker John Neasham and businessman Les Walker to launch the company in 2016.
The latest investment brings the total raised by the company to date to over £2.5m and has supported the creation of 10 new jobs, bringing its team to over 30.
Rabbitt said: “The lockdown not only escalated the need for credit unions to offer their members digital access, but also to communicate with them more regularly and effectively, something our technology also enables them to do.
"Credit unions have been at the forefront of supporting financially excluded and often vulnerable individuals and families over recent months, so we are delighted to offer them technology which not only better supports existing members in a digital world, but also enables them to promote their message of ethical, supportive banking to a wider audience.”
Tom Kitchen of Mercia, which manages NPIF – Mercia Equity Finance, said incuto "provides a complete end-to-end solution for credit unions".
incuto has established partnerships with Experian, Telefonica, Google and TransUnion, and is HM Treasury’s sole technology partner for the two-year pilot of its prize-linked savings scheme for credit unions.