^{Photo: Reuters}

In a major strategic shift, Wise, the British financial technology firm known for disrupting international money transfers, has announced it will move its primary stock market listing to the United States, while retaining a secondary listing in London. This decision signals another setback for London’s ambitions to become a premier hub for high-growth tech firms.

A Blow to the London Stock Exchange

Wise's move comes just three years after it made headlines by going public on the London Stock Exchange (LSE) in 2021 via a direct listing, a debut that valued the company at £8 billion ($10.84 billion). At the time, it was heralded as a major win for the U.K.'s financial ecosystem, especially under then-Chancellor Rishi Sunak’s broader mission to make London the top destination for tech IPOs.

Today, Wise is valued at £11.07 billion ($14.9 billion), according to LSEG data. Despite this growth, the company is now looking across the Atlantic for deeper capital markets and greater investor engagement — a move that speaks volumes about the perceived limitations of the U.K. market.

Why Wise is Making the Shift

In its full-year earnings statement released Thursday, Wise revealed plans to pursue a dual listing structure, where its primary listing will move to a U.S. exchange — likely the Nasdaq or NYSE — while maintaining its secondary presence on the LSE.

“This dual listing would allow Wise shares to be traded more actively on both sides of the Atlantic,” the company stated. The transition is expected to unlock greater liquidity, increased analyst coverage, and access to a larger pool of institutional investors.

Shares of Wise surged by 7% in early trading following the announcement, indicating strong investor support for the move.

What’s Driving London’s Tech Exodus?

Wise’s decision adds to a growing list of high-profile firms that have either left or overlooked London for their listings. In recent years:

• Arm Holdings, the British semiconductor giant, opted for a $54.5 billion listing on Nasdaq in 2023, despite intense lobbying from U.K. officials.
• CRH, the world’s largest building materials supplier, moved its primary listing to New York in 2023.
• Flutter Entertainment, owner of FanDuel, is currently in the process of shifting its primary listing to the U.S., citing better access to capital.

Critics argue that London lacks the liquidity, analyst support, and aggressive investor appetite that U.S. exchanges can offer. According to EY's 2024 IPO report, companies listed in the U.S. attract, on average, 2.5 times more institutional investor interest than those in the U.K.

Implications for the U.K. Market

The loss of Wise as a primary listing is not just symbolic — it's strategic. The company is one of the most successful fintech exports from the U.K., with over 16 million customers worldwide and a mission to modernize cross-border finance. Its departure raises questions about whether London can remain competitive as a home for innovative tech firms.

While Wise has stated it will maintain a strong operational and corporate presence in the U.K., its decision to shift its listing allegiance could encourage other tech firms to follow suit.

Looking Ahead

The U.K. government has launched several initiatives, including the Edinburgh Reforms and Mansion House Compact, aimed at modernizing the listing regime and encouraging pension funds to invest in domestic equities. However, these efforts may not be enough if companies continue to perceive U.S. markets as more dynamic and growth-oriented.

Wise’s move underscores a growing reality: London must act swiftly to reform its capital markets or risk becoming a second-tier player in the global tech economy.

Wise’s shift to the U.S. is more than a corporate decision — it’s a statement about where the future of global finance and technology may be headed. For London, it’s a wake-up call that revitalizing the financial sector will require more than patriotic rhetoric — it needs bold reforms and tangible incentives to keep global tech leaders rooted in the U.K.