Open Banking: What Have We Learnt?

The article considers what regulators can learn from the experience of the open banking implementations that have taken place to date and, in particular, the relative merits of market-driven versus regulator-led approaches. It concludes that if the regulator’s policy objective is to address a competition problem then a market-led approach is unlikely to succeed since the market is, by definition, not well-functioning. In such circumstances the regulator will need to use or acquire legal powers