Top Executive at UK's Largest Property Fintech Dismissed Following Whistleblower Allegations
A senior executive at the United Kingdom's leading property fintech company has been removed from his position after allegations of non-financial misconduct surfaced, according to exclusive reports. Hugo Davies, who served as the chief capital officer at Lendinvest, was dismissed from the company in March following a detailed whistleblower letter sent to both the firm's chair and the City watchdog.
Investigation Launched by Prestigious Law Firm
Lendinvest promptly engaged the services of prominent law firm Simmons & Simmons to conduct a thorough investigation into the allegations and provide expert advice on the matter. This same legal firm previously handled investigations into allegations against financier Crispin Odey at Odey Asset Management, demonstrating their experience with sensitive corporate matters.
Davies, who had been a regular spokesperson for the company and was frequently quoted in media reports covering new deals and fundraising activities, also served briefly as interim chief financial officer in a caretaker capacity. Industry sources indicate he was considered a potential candidate for the chief executive position before his dismissal.
Financial Regulator Expands Conduct Rules
The Financial Conduct Authority announced earlier this year that it would broaden the definition of its "conduct rules" to explicitly include non-financial misconduct. This new regulatory framework is scheduled to take effect in September, reflecting increased scrutiny on corporate behavior beyond purely financial matters.
Lendinvest's Financial Performance Shows Significant Improvement
Despite the executive turmoil, Lendinvest has demonstrated substantial financial progress in recent periods. The company, which trades on London's Alternative Investment Market (AIM), secured significant funding including £500 million from JP Morgan in 2024 and an additional £175 million from HSBC in 2025 as part of a home building initiative.
The fintech's financial results show dramatic improvement, with losses narrowing to just £1.2 million in 2025 - representing a remarkable 96 percent reduction from the £31.1 million loss recorded the previous year. During the second half of 2025, the company achieved a pre-tax profit of £50 million.
Operational Efficiency and Growth Metrics
Lendinvest experienced substantial growth in new lending, which increased by 39 percent to reach £1.2 billion. This expansion was primarily driven by a nearly two-thirds surge in activity within the mortgages division. Concurrently, the company improved operational efficiency with operating expenses contracting by one-fifth to just under £40 million.
The firm's workforce decreased by 15 percent to 203 employees, contributing to the improved cost structure. Davies departed the company without retaining his equity stake, according to sources familiar with the situation.
When contacted for comment, a Lendinvest spokesperson confirmed: "Mr Davies was dismissed in March for non-financial conduct." Both Davies and Simmons & Simmons declined to provide additional statements regarding the matter.
