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07/29/2024

UK’s Open Banking Milestone: What 10 Million Users Mean for UK’s Financial Services Future

PYMNTS

While open banking starts to gain traction in the U.S., across the pond the banking and payments sector is celebrating milestones. Last week it celebrated ten million active users. Is that a good number? Consider two facts before you answer. One: Ten million users is 15% of the entire U.K. population. If 15% of the U.S. population was using open banking, that would be about 50 million users. Two: Just 18 months ago that U.K. number was only six million open banking users.

So, is ten million a good number? PYMNTS put the question to Marion King, chairperson and trustee of the U.K.’s Open Banking Ltd regulatory and advocacy group. And while she’s certainly not resting on any laurels, she’s satisfied that the government-mandated direction from the country’s top-tier financial institutions to make data sharing and new payment options available will lead to more success in the short term. Part of that momentum, she told PYMNTS, will come from the next tier of banks and their business customers.

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