The Australian Securities and Investment Commission (ASIC) will partner with a UK regulatory giant to grow the future of fintech businesses.

ASIC said the partnership with the Financial Conduct Authority (FCA) came as a result of their innovation hubs, which have been set up to help financial start-ups gain authorisation.

The FCA’s innovation hub has provided support to over 200 businesses, authorising 18. By comparison, ASIC has given 10 licences out of 75.

As part of the agreement, the FCA and ASIC will refer each other when a business start-up is looking to enter either of their markets. They will also share information on market regulation, market trends and innovation.

“Since ASIC launched its innovation hub last year, we have seen a surge in requests by fintech start-ups seeking assistance about how to navigate the regulatory requirements,” said ASIC chairman Greg Medcraft.

It is very exciting to observe and clearly some business ideas will want to scale up internationally.”

The FCA echoed Medcraft’s statement, with FCA director of strategy and competition, Christopher Woolard adding that the UK market will benefit from an Australian association.

“Innovation in financial services isn’t limited by national borders and so it’s important that we support overseas businesses that have new ideas that could benefit British consumers,” he said.

“We also know that many British firms wish to use the UK as a springboard to launch their businesses or products internationally, making them potentially more sustainable challengers. That is why this agreement – the first of many, we hope – is important”.