FinTech Firms Outpace Traditional Finance in AI Productivity Gains

A survey by the Cambridge Centre for Alternative Finance at the University of Cambridge highlights how artificial intelligence is reshaping financial services. FinTech companies can often deploy AI across technology, data and product functions faster than established institutions constrained by legacy systems and layered processes. The resulting productivity gap has become an important measure of competitiveness as the industry increases investment in automation and data-driven products.

In the latest findings, 86% of FinTech companies reported productivity improvements from using AI in technology, data and product-related functions, compared with 68% of traditional financial institutions. The benefits were strongest in revenue-linked activities, while gains in corporate management remained comparatively weak. The results indicate that AI’s impact is broadening across finance but remains uneven, with operational and commercial teams capturing value faster than management functions.