Regulators in the UK and Australia aim to give fintech companies more support and less regulatory uncertainty.

The UK’s Financial Conduct Authority and the Australian Securities and Investment Commission have signed an agreement to support financial technology businesses seeking to enter each other’s market. 

ASIC and the FCA also committed to share information on emerging market trends and their impact on regulation.

“We believe this agreement with the FCA will help break down barriers to entry both here and in the UK,” Greg Medcraft, chairman of ASIC, said in a statement.

The agreement comes after the creation of "innovation hubs" at the FCA and ASIC, which were set up in October 2014 and April 2015 respectively, to help innovative businesses navigate complex finance regulation. The FCA’s innovation hub has supported over 200 businesses, 18 of which have been authorised. ASIC has helped over 75 start-ups and granted 10 licences.

“With ASIC, we will reduce the barriers for authorised firms looking to grow to scale overseas and to assist non-UK innovators interested in entering the market we oversee,” said Christopher Woolard, director of strategy and competition at the FCA.

Once referred by the regulator, businesses will be assigned a team to help them understand the regulatory rules in the new market. They will then be supported during the authorisation processes. Following authorisation, each business will have a dedicated contact for a year.

Fintech industries in the UK and Australia are estimated to have revenues of around £6.6 billion ($9.3 billion) and £700 million a year respectively, with both growing rapidly, according to the FCA.