A PYMNTS Company

UK Launches Consultation On The Future Of Open Banking

By  |  March 7, 2021
CMA

The UK’s Competition and Markets Authority (CMA) has launched a consultation on the future governance of Open Banking. Open Banking is an initiative launched by the CMA in 2017 following its Retail Banking Market Investigation. It allows consumers and SMEs to share their bank account information securely with trusted intermediaries who can then use this information to help them save time and money by finding better products to suit their needs. In turn, open banking aims to place competitive pressure on the larger, established banks who have accounted for over 80% of the current account market for many years.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    Subscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    Since its establishment, Open Banking now has around 3 million active users and it is estimated that more than half of small and medium businesses use tools employing open banking functionality.

    We’d love to be your preferred source for news.

    Please add us to your preferred sources list so our news, data and interviews show up in your feed. Thanks!

    Add as Preferred Source

    In order to implement open banking, the CMA required the 9 largest current account providers in Britain and Northern Ireland respectively to create and pay for an implementation entity – known now as the Open Banking Implementation Entity – and to appoint an implementation Trustee, approved by the CMA, to oversee the process.

    The implementation phase of open banking is nearing completion and the CMA is now consulting on what arrangements should be put in place for its governance in the next phase of its development.

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.