Article: FCA publishes industry feedback on Open Finance

Money, Open Governance

FCA publishes industry feedback on Open Finance

The call for input, which closed in October 2020, was initially laid out in the FCA’s 2019/2020 business plan and was intended to help drive forward the UK’s adoption of Open Banking, eventually reaching a point when Open Finance would be achieved. The FCA defines Open Finance as the re-use of data supplied and created by customers of financial services by a third-party in a safe and ethical environment to improve financial transparency.

The regulator published its feedback to the 169 market responses that it received, including some key insights on the industry’s attitude towards Open Finance. Cost was among the chief concerns, with respondents signalling that ‘the cost of delivering Open Banking had exceeded what was originally expected,’ and as a result, work needed to be put in place to ensure Open Finance ‘could be delivered at a lower cost.’

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Article: FCA to define new rules about data ethics in evolution of Open Banking

Money, Open Governance

FCA to define new rules about data ethics in evolution of Open Banking

Open Finance refers to the extension of Open Banking-like data sharing to a wider range of financial products, such as savings, investments, pensions and insurance.

The FCA published a Call for Input in December 2019 on the shift to Open Finance, which could potentially offer significant benefits to consumers, including increased competition, improved advice and improved access to a wider and more innovative range of financial products and services.

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Article: Open Banking – Progress in Past and Future

Money, Open Governance

Open Banking – Progress in Past and Future

The COVID-19 pandemic affected performance in most sectors in 2020, but crucially it did not hinder innovation in financial services. Indeed, many providers have invested to gain a competitive edge in the post-COVID world, making the sector a rare example of progress in 2020.

Open banking already had impressive momentum before the pandemic, doubling the number of users in the UK to reach one million in the preceding six months – but since then it has flourished and now exceeds the three million mark.

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