Glasgow-based regulatory technology firm Encompass has received a £1.97m research and development grant from Scottish Enterprise to develop an Artificial Intelligence (AI) Platform for its financial services clients.
The news is a major boost for one of the UK’s fastest growing fintech companies and was formally announced by First Minister, Nicola Sturgeon at a special event at Encompass HQ on Monday.
The AI development will help Encompass customers to quickly and accurately find risk relevant information about their organisations and investments, from a wide-ranging pool of data.
The funding is part of a project with a total value of £4.9m, which will help with innovation as well as creating 33 new high-value RegTech jobs in London.
The company’s focus on the Know Your Customer (KYC) product which uses data analytics to ensure its clients do not unknowingly trade with organised crime or the proceeds of crime, in-keeping with new legislation introduced after the global financial crisis.
First Minister, Nicola Sturgeon said: “Encompass is one of a number of international companies that have chosen to locate and steadily expand their operation making Scotland an attractive place to grow its business. From its Glasgow base, the company has access to markets, a supportive business environment and has been able to identify local talent from Scottish professionals in the engineering and software development sector.
“Backed by almost £2 million of R&D investment from Scottish Enterprise, Encompass will be able to develop artificial intelligence software tools that will assist companies in the financial sector reduce operational risks associated with meeting compliance and regulatory standards.”
Wayne Johnson, Co-Founder and CEO, Encompass comments: “We are delighted to receive this grant, which will allow us to carry out crucial, timely work. There is a considerable demand in our space for a solution of this kind, and this development will be central to us continuing to bring innovative solutions to the market and our customers.
“We are particularly pleased to be able to advance our work in Glasgow in this way. We have enjoyed excellent support and growth here, and look forward to furthering that growth, while bringing in more skilled employees as a result of this project.”
Scottish Enterprise comments: “We have a long-standing relationship with Encompass, having supported the development of its initial KYC product and the company’s growth in Glasgow. It’s great to see it now branching out into this new area of AI with its adverse news screening tool – for which there is a strong and immediate market demand – while at the same time bolstering Scotland’s already-strong reputation for RegTech innovation and creating more skilled, high-value jobs.”