Demand for open banking triples in pandemic

The number of people choosing to share their data through open banking has tripled since the start of the coronavirus pandemic, according to new statistics from Experian.

Experian’s Open Data Platform saw more than 188 million data sharing requests in February, which was up from 47 million in February 2020. The figure also equated to 30% of the 669 million made in the UK overall.

The credit reference agency also undertook research in February among 80 lenders and found that 57% have adopted open banking technology in the last 12 months, in a bid to help more people manage their finances in more intuitive ways online.

Experian suggested that an “accelerated shift” towards digital banking has seen more people using a new wave of apps and services that can help them manage their finances, with the pandemic limiting access to branches and the use of cash.

More research, conducted by Open Banking Implementation Entity (OBIE), also revealed that one in five UK adults started using online banking powered apps during lockdown, while over half of Britons (54%) now say they now use them regularly.

“We’ve seen an incredible boom in digital financial tools over the course of 2020, especially when it comes to open banking powered services,” commented Experian managing director of data services, Lisa Fretwell.

“People are increasingly understanding the ways their financial data can help them manage their finances more productively. They’re increasingly calling on it to support their financial management and planning – which is more of a priority than ever before – as we face into a second year of potential economic upheaval.”

Experian also believes that in the future, other sources of financial data – such as for mortgages, investment accounts, pensions and insurance – would help people manage their entire financial footprint in one central place.

Fretwell suggested that open banking has the “potential to do so much good”, and transform the way people manage their money, as well as help them plan for the future with confidence.

She added: “The next step is about moving as an industry to help build understanding about the benefits of these tools, so that everyone can feel confident in how and when they want to share their data, and the value they get in return.”

    Share Story:

Recent Stories


FREE E-NEWS SIGN UP

Subscribe to our newsletter to receive breaking news and other industry announcements by email.

  Please tick here to confirm you are happy to receive third party promotions from carefully selected partners.


The new episode of The Mortgage Insider podcast, out now
Regional housing markets now matter more than ever. While London and the Southeast still tend to dominate the headlines from a house price and affordability perspective, much of the growth in rental yields and buyer demand is coming from other parts of the UK.

In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance.

The role of the bridging market and technology usage in the industry
Content editor, Dan McGrath, sat down with chief operating officer at Black & White Bridging, Damien Druce, and head of development finance at Empire Global Finance, Pete Williams, to explore the role of the bridging sector, the role of AI across the industry and how the property market has fared in the Labour Government’s first year in office.


Helping the credit challenged get mortgage ready
A rising number of borrowers are finding it harder to access mortgages due to being credit challenged - whether that’s from historic debts, a county court judgment, or having little to no credit history.

In the latest episode of the Mortgage Insider podcast, Phil Spencer is joined by Eloise Hall, Head of National Accounts at Kensington Mortgages, and Alastair Douglas, CEO of TotallyMoney.

The future of the bridging industry and the Autumn Budget
MoneyAge content editor, Dan McGrath, is joined by head of marketing at Black & White Bridging, Matt Horton, to discuss the bridging industry, the impact of the Autumn Budget and what the future holds for the sector.