UK Research and Innovation (UKRI), is investing £153 million, to develop new products and services based on advances in quantum technologies that will have a significant impact on financial services. This is part of a larger investment in the UK National Quantum Technologies Programme which is on track to delivering £1B investment over its 10-year life.
It will be supported by £205 million from industry, making the contribution from industry - for the first time - greater than the contribution from government. Major banks, insurance providers and regulators are already assessing the opportunities and advising clients on quantum computers for quantitative finance, asset pricing and portfolio optimisation.
This announced amount of £153 million will add to the £350 million already invested in the UK’s research into quantum science. This additional investment will help remove technological barriers to productivity and competitiveness in the UK.
Precise quantum clocks for timestamping transactions to advance high frequency trading and quantum security solutions to protect sensitive financial transaction data are currently being addressed.
The Commercialising Quantum Technologies Challenge, through UKRI’s Industrial Strategy Challenge Fund (ISCF), has so far awarded a total of £90 million across 42 projects to realise the potential of the new generation of quantum technologies.
Roger McKinlay, challenge director, says: “Quantum technologies are expected to have a huge impact on the financial services industry. Banks, insurance providers and regulators are already thinking ahead to the implications this technology will have on businesses, the economy and society.
This funding sends a very positive message about the UK’s commitment towards the quantum programme and the many benefits which will come from this. This technology has the potential to transform our lives and the world around us, from improving healthcare and modern communications, to national resilience and security.
