A new report has found that there has been an almost threefold increase in the number of Irish consumers embracing financial technology (Fintech) since 2017.

Fintech refers to the integration of technology into financial services - such as mobile payments.

The report from EY examines the Fintech industry and demand for these services globally.

It shows almost three-quarters of all Irish adults (71%) use Fintech services in one form or another.

This is higher than the global average of 64%.

Just two years ago Fintech adoption rates in Ireland stood at 26% - 7% below the global average of 33%.

According to the report findings, the main reasons Irish people are using these services are due to more attractive rates and fees on offer (37%), ease of which to set up an account (22%) and access to different and more innovative products and services (18%).

Irish adoption is being driven by greater use of money transfer and payments (85%), insurance (63%), peer-to-peer payment and non-bank money transfers (76%).

Fintech use is also higher among the younger generation, and at its peak in the 25 to 34 age groups at 80%.

File photo | Image: Richard B. Levine/SIPA USA/PA Images

The report also reveals a steady increase of Fintech proposition adoption across all categories, except borrowing, as Irish consumers incomes increase.

Irish people still see their main bank and insurance company as their first point of contact when buying a new financial product or policy.

But the report found customers are increasingly willing to consider other options - particularly price comparison sites.

Commenting on the report, Niall Corrigan of EY Financial Services said: "What was once considered as complex and challenging, Fintech has seen a remarkable increase in growth in Ireland over the past few years, partly due to the rise of mobile-first platforms, but also driven by Irish Government initiatives to encourage Fintech innovation.

"Fintechs are continuing to gain traction in the Irish market blurring the scope and lines between traditional financial products and needs-based or lifestyle propositions.

"Looking ahead, we see an increasingly ecosystem-driven approach towards managing consumer financial service.

"Demand for Fintech services are growing and the opportunity for innovative Irish Fintech at home and abroad is strong".