Open Banking has 4.5m users in fourth year

Today marks the fourth year anniversary of the launch of PSD2, which made Open Banking a regulatory requirement in the UK.

According to the Open Banking Implementation Entity (OBIE) there are now 4.5 million regular users of Open Banking, of which 3.9 million are consumers and 600,000 small businesses.

This represents a 60 per cent increase in new customers over the past 12 months, up from 2.8 million in December 2020.

“Four years ago, we ordered banks to give people control of their own data, helping transform the industry, drive innovation and stimulate competition,” said Andrea Coscelli, Competition and Markets Authority (CMA) chief executive “This has led to two million more people signing up for open banking in the last year. We are working closely with OBIE to strengthen governance, and to ensure that even more users make the most of the potential of open banking in 2022 and beyond.”

The milestone comes a week after 53 FinTechs signed a letter challenging a recent claim by Starling Bank’s Anne Boden that Open Banking has “not been a success”.

OBIE said that by the end of 2021, there were more than 26.6 million Open Banking payments, an hike of more than 500 per cent in a year.

“The progress made by the entire industry during the past four years to make open banking in the UK a success has been astounding,” said Charlotte Crosswell, chair and trustee, OBIE. “I’m proud of the contribution that the OBIE has made, enabling and supporting ground-breaking financial innovation and collaboration across the sector.

“This wouldn’t have happened without a strong regulatory framework and forward-thinking policy makers to support our work. We have set a high standard in the UK, inspiring many other markets to follow our lead.”

    Share Story:

Recent Stories

New Business Frontiers
FStech’s Mark Evans discusses the future of financial services with Liu Jianning of Huawei, covering the limitations that current thinking can impose, how financial institutions can embrace technology to be both agile and resilient, and making space for the organisation to focus on the job of creating innovative business models and on delivering business value for their customers.

The Future of Intelligent Finance
FStech Group Editor Mark Evans sits down with Jason Cao, President of Global Financial Services Business Unit, Enterprise BG at Huawei ahead of its Intelligent Finance Summit which was held on 3rd and 4th of June in Shanghai. This Q&A delves into key trends in digital transformation of the financial services industry as well as a look at how data, robotic infrastructure, intelligent storage and innovative technologies are shaping the future for FSIs.

Cracking down on fraud
In this webinar a panel of expert speakers explored the ways in which high-volume PSPs and FinTechs are preventing fraud while providing a seamless customer experience.