Five Additional Financial Institutions Join UK’s “Fintech Pledge”
- FinTech StartUps
- 10.12.2020 01:35 pm
Tech Nation, the growth platform for tech companies and leaders, announces new signatories Atom bank, Co-operative Bank, Nationwide Building Society, TSB, and Virgin Money to the Fintech Pledge, joining existing signatories Barclays, HSBC, Lloyds Banking Group, NatWest Group and Santander.
The Fintech Pledge is an initiative of the Fintech Delivery Panel, supported by HM Treasury (HMT), to accelerate the growth of the UK’s fintech sector. A world-first, the Fintech Pledge sets standards for the establishment of efficient and transparent commercial partnerships between financial institutions and fintech firms.
The key principles of the Fintech Pledge:
- Clear guidance on the onboarding process through a dedicated online landing page
- Clarity on which stage a potential partner has reached within the onboarding process, as well as providing a named contact and feedback
- Principles and practices of the Pledge implemented within six months of signing
Commercial partnerships provide an excellent opportunity to drive fintech growth, providing financial institutions with the latest innovations, and enabling fintechs to scale their propositions quickly across significant customer bases to the benefit of the end consumer.
The first signatories have started implementing the principles, with positive effects of the commitment already reported by some fintechs.
Veronique Barbosa, Co-founder/COO of Flux and Fintech Delivery Panel member, said: “On Flux’s journey to becoming the industry standard for digitising item-level receipt data, it’s encouraging to see important innovation being supported by synergies between government, fintechs and large corporates. The Fintech Pledge is a great vehicle for ensuring this happens and we are looking forward to seeing the continued impact of the Fintech Pledge on the UK's financial ecosystem.”
The Fintech Delivery Panel is also today sharing more details on its future areas of focus. Beyond its work facilitating efficient and effective partnerships, these also include: enabling fintech solutions to financial inclusion challenges and driving diversity in the fintech sector. The Fintech Delivery Panel seeks to drive practical change on these issues, using the expertise and resources of members to address roadblocks and aid tangible opportunities for fintech growth.
John Glen, Economic Secretary to the Treasury, said: “The UK is a leading global destination to start, grow and invest in fintech - and partnerships between small innovative firms and established financial institutions will be important to maintain our leadership. I am pleased to see five more banks and building societies committing to develop these valuable partnerships by signing up to the Fintech Pledge.”
Gerard Grech, Chief Executive, Tech Nation, said: “The UK is a global leader in fintech, with UK fintechs raising £4bn in 2019, and being home to 44% of Europe’s fintech unicorns, but we need to keep building on this to remain at the cutting edge.
As the UK embarks on a new relationship with the EU and forms new partnerships with other countries, fintech will be key to our international success. Initiatives like the Fintech Strategic Review, of which Tech Nation is one of the stream leads, and the Fintech Pledge, illustrate the UK’s forward thinking approach to innovation, and a desire to maintain an ecosystem that supports the growth of this valuable sector.”
Eileen Burbidge, Chair of the Fintech Delivery Panel and Partner, Passion Capital, said: "It's fantastic to welcome new institutions to this important Fintech Delivery Panel initiative. The banks' commitment to transparency and effective collaboration with fintechs will help drive even more successful partnerships and innovation, keeping the UK at the forefront of financial innovation.”
Victoria Roberts, Director of Fintech Delivery Panel at Tech Nation, said: “Fintechs and financial institutions working together effectively offers an exciting opportunity to scale the newest innovations. I’m thrilled to see wider uptake of the Fintech Pledge principles, putting communication and collaboration at the heart of these important partnerships.
Patrick Eltridge, Chief Operating Officer, Nationwide Building Society, said: “We are delighted to sign the Fintech Pledge, underlining our approach to working with start-ups and technology companies. As a building society we know we can achieve more together through creating meaningful partnerships with organisations which reflect our values. At the heart of our mutual ethos is a collaborative approach and we believe this is how we can best help organisations we work with grow and thrive. Through partnering with some of the most exciting Fintechs we can continue to be at the forefront of developing innovative products and services that will benefit our members both now and into the future.”
Suresh Viswanathan, Chief Operating Officer, TSB, said: “Collaborating with FinTechs is at the core of TSB’s digital first offer as we innovate to help boost money confidence for our customers. We’re pleased to sign the Fintech Pledge, working closely with FinTech industry to meet the changing needs of our customers.”
Edward Twiddy, Chief Customer Officer at Atom bank, said: “The UK fintech industry is a world leader in the process of transforming financial services into an industry fit for the future. Partnership is at the heart of how better customer outcomes are being created by fintechs large and small, and we’re delighted to be signing the Fintech Pledge to codify what this means for us as a business. As a member of the Fintech Delivery Panel we are also committed to industry transformation and to securing the productivity gains and competitive edge for UK fintech so that as a nation we continue to command a leading role in innovation, investment and export markets.”
Sean Gilchrist, Chief Digital Officer at The Co-operative Bank, comments: “We know the value working with fintechs can add, not only to how we enhance our business operations and processes but also to directly benefit our customers and their experience of banking with us. Signing the Fintech Pledge shows our commitment to collaborate with UK fintechs to deliver some great innovation for our customers in a way that is in keeping with the values and ethical policy that underpins how we do business.
We want to further build on the good work we’ve achieved this year with neighbouring fintechs in the North West and continue to develop strong relationships with like minded organisations, so we can work together to help them achieve their goals, and also progress and accelerate our plans for change and transformation that will make a real difference to our business and for our customers.”
Fraser Ingram, Group Chief Operating Officer at Virgin Money, said: “Working with FinTechs is central to our ambition to disrupt the status quo in banking; helping us create an ecosystem of innovative and compelling services for customers. Signing this pledge is a signal of our commitment to supporting and advancing the UK’s world-leading FinTech sector.”
Established in 2017 by Tech Nation at the request of HM Treasury, and refreshed in 2020, the Fintech Delivery Panel is made up of leaders across the UK fintech ecosystem as well as the five largest banks in the UK. The Fintech Delivery Panel was established to enhance the UK’s position as a global leader in the future of financial services. The Panel develops collaborative initiatives to strengthen the UK fintech ecosystem, help fintechs achieve scale, and create an innovative environment for further developments to the benefit of consumers. See the Fintech Delivery Panel areas of focus published today here and download the Fintech Pledge here.
Further Details on the Fintech Pledge:
Tech Nation will be holding a webinar on the 15th of December explaining the origins, details and ongoing implementation of the Fintech Pledge. This is an opportunity to gain insights into how banks and fintechs can work together to build successful partnerships. The webinar will be followed by an online networking event; a great chance to meet the banks and fintechs putting this into practice. Sign up here.