BoE, Barclays, BCG, MarketInvoice, Nationwide and HSBC in Banking

by | Jul 17, 2017 | Challenger banks

  • Bank of England has been told by a number of small banks that they could be forced to retreat from doing business in either the UK or Europe should Britain leave the EU with no deal in 2019
  • Barclays is under pressure to pursue a spin-off of its high street operations from its investment banking arm. The bank is in the process of applying new ring-fencing rules, but according to the Sunday Telegraph, about a fifth of Barclays’ shareholder base favours a full split that would leave the two divisions with separate stock market listings.
  • Boston Consulting Group has concluded in a report that the future of retail banking will rely on human interaction instead of an all-digital service. The research company said that customers want the ‘ease and immediacy’ of digital banking and ‘a high degree of personalisation, differentiation and localisation’ from their banks. It also stated that banks which still have a traditional branch network show margins 70 basis points higher than all digital competitors.
  • MarketInvoice has added € and US$ capabilities to its confidential invoice discounting product MarketInvoice Pro
  • Nationwide commissioned survey looking at how consumers transact found that people who donated online gave an average of £5.47 compared to £2.34 for cash donations. Of those surveyed, 30% said they did not have any loose change when they wanted to give cash, 30% said that online and mobile banking were the most important functionalities and 39% had used Apple Pay, Android Pay or Samsung Pay on their mobile, with 19% claiming they use it regularly.
  • Peru Consulting has reported that 57% of IT leaders believe it is likely that GAFA (Google, Apple, Facebook and Amazon) companies will enter the UK retail banking sector within the next five years. According to the research, more 36% of consumers would consider switching to GAFA banking services, rising to 50% among 25-34 year olds
  • HSBC and Barclays have partnered with the UK Government Digital Service, Orange, OT-Morpho and the Open Identity Exchange to test the use of public sector eIDAS (Electronic Identity and Signature) standards for banking across borders. For the pilot tests, Orange will create the services that will allow a digital identity to be set up for use by a French citizen through Mobile Connect, while OT-Morpho will develop services and infrastructure for the identity authentication process. The project is co-financed by the European Union’s Connecting Europe Facility