Banking Disrupted Ame Stuart

The latest report from Mastercard and Payments Cards & Mobile highlights some of the key changes in readiness when it comes to Open Banking adoption across the UK and Europe. The report examines trends across 10 core markets and highlights what has changed in the last 18 months, along with how each region is balancing the regulatory as well as innovation agenda for consumers.

The world of customer engagement across banking has become increasingly remote, partially fuelled by COVID health and safety concerns, and the need for many banks to save costs by closing branches. According to Which?, since 2015 over 3,300 branches have closed across the UK, with 200+ branches closing in 2020. This trend is expected to continue during 2021 and beyond, where we have already seen TSB and Lloyds announce 164 and 56 bank branch closures across the UK, respectively.

There are so many theoretical definitions for ethical banking, everything from being environmentally friendly, having a net-neutral carbon footprint, not doing businesses with partners who are involved in non-sustainable sectors, investing back into the community, or operating on behalf of members.
Most of these can be found in a company’s Corporate Social Responsibility (CSR) manifesto, as it has become an essential part of managing a banks brand perception. These all sound very noble but are these causes just ticks-in-boxes designed to signal the “right” perception or is there some substance behind the rhetoric.

Looking at the future of card use, and what innovation banks need to pay attention to in particular.

Banks needs to do more to help small businesses beyond giving them an account, loan or taking payments. They need to help survival and thriving using some of the techniques used by new networking platforms like Clubhouse.

Will be using cryptocurrency as much as our cards? What are the benefits and risks involved in using this new-kid-on-the-block payment method?