Open banking reforms are now over one year old in the United Kingdom (UK). In this relatively short period of time, 67 firms have begun using open banking technology. Moreover, the number of financial services beginning to engage with API integration is growing. For example, HSBC’s Connected Money app lets consumers view their accounts at up to 21 different banks in one place.
At the same time, it is important to note that open banking is still in its infancy in the UK, with many banks taking their time to understand the landscape and legal realities. As a result, many established banks are not being proactive in embracing new technologies. As open banking increases the quality of financial products and services on offer in the country however, consumers will have the power to choose which banks and FinTechs will ultimately win in this new era. And those banks wishing to survive and thrive will have to embrace innovations that might make them a little nervous at the moment.