· The pledge will support the UK in maintaining its position as a global fintech leader by enhancing effective collaboration between UK banks and fintechs
· All banks are invited to sign the pledge, with Barclays, HSBC, Lloyds Banking Group, NatWest Group and Santander announced as early voluntary signatories
· Supported by Tech Nation, HM Treasury and the Fintech Delivery Panel, the initiative recognises the key role fintech will play to aid the UK’s economic recovery post-COVID-19
Tech Nation, the growth platform for tech companies and leaders, announced the launch of the Fintech Pledge with support from HM Treasury (HMT) and the Fintech Delivery Panel, to accelerate the growth of the UK’s fintech sector by enabling enhanced collaboration between banks and leading fintech firms.
A world-first initiative, the Fintech Pledge will set globally leading standards for the establishment of efficient and transparent commercial partnerships between banks and fintech firms. The key principles of the pledge rest upon the banks providing clear guidance to technology firms on the onboarding process through a dedicated landing page, and providing clarity on progress through being onboarded. They will provide a named contact, as well as guidance and feedback, and encourage good practice and improvement. Furthermore the pledge commits banks to implementing these principles and practices within six month of signing.
From today, banks will have the opportunity to volunteer as signatories to the pledge, with five major banks – Barclays, HSBC, Lloyds Banking Group, NatWest Group and Santander – already volunteered as early signatories through their involvement as members of the Fintech Delivery Panel.
The Fintech Pledge formalises the continued work of banks to evolve and improve their processes and engagement with the fintech sector, as increasingly tech start-up companies and banks are looking to partner with each other to drive better consumer and client outcomes. Furthermore, commercial partnerships with banks are an important factor in the growth and scaling capabilities of fintechs, making increased collaboration through the pledge key to creating an environment that enables a globally competitive and world-leading fintech ecosystem.
Eileen Burbidge, Chair of the Fintech Delivery Panel and Partner, Passion Capital comments: “It’s brilliant to see the collaboration and efforts of the Fintech Delivery Panel lead to this fantastic commitment, helping fintechs scale their businesses by partnering more effectively with banks. The Fintech Pledge, with the support of HM Treasury and the five largest banks in the UK, will support transparent and efficient collaboration, ensuring that the UK continues to lead the world in fintech innovation and sector growth.”
The launch of the Fintech Pledge continues the important work already undertaken to support the UK fintech ecosystem, including in open banking and in pioneering regulatory innovations such as the Financial Conduct Authority’s regulatory sandbox. While the UK’s fintech sector is already a global leader, and is a strategically important sub-sector for the UK economy, the Fintech Pledge will help to ensure that the UK remains the best place to start and scale a fintech company.
The Fintech Delivery Panel is also pleased to welcome new members. Established in 2017 by Tech Nation at the request of HM Treasury, the panel is made up of leaders in UK fintech as well as the 5 largest banks in the UK. The new members include representatives from Monzo, Transferwise, OakNorth and Atom Bank, as the panel moves to chapter 2.0, tackling new objectives alongside existing work, including looking at the challenges and opportunities presented by COVID-19, and the UK’s Exit from the EU.
John Glen, Economic Secretary to the Treasury comments: “The UK is already the best place in the world to start and grow a Fintech, and we’re committed to that remaining the case as our economy bounces back. So I welcome the Fintech Pledge from some of our leading banks and look forward to more firms becoming signatories.”