The BBA is now integrated into UK Finance. Please go to www.ukfinance.org.uk for new content and updates from UK Finance.
Material published by BBA prior to 1st July 2017 is still available on this website.
From 1 July 2017, the finance and banking industry operating in the UK will be represented by a new trade association, UK Finance. It will represent around 300 firms in the UK providing credit, banking, markets and payment-related services. The new organisation will take on most of the activities previously carried out by the Asset Based Finance Association, the British Bankers’ Association, the Council of Mortgage Lenders, Financial Fraud Action UK, Payments UK and the UK Cards Association.x
Fintech is already transforming the way that banks do business across retail and wholesale markets, with banks committed to promoting innovation in the interests of their customers – for example, we’ve seen Santander team up with Kabbage to offer fast loans to SMEs, and UBS, BNY Mellon, Deutsche Bank, and Santander and Icap advance the Utility Settlement Coin with Clearmatics. And the UK’s fintech infrastructure is some of the more sophisticated in the world, with a cluster of innovative firms, support networks and a widely-copied regulatory model. However, translating potential into sustained high performance isn’t necessarily simple.
For example, the FCA recently published a discussion paper on how distributed ledger technologies can be used in regulated markets. As government and businesses focus on building strong global trade links, distributed ledger technologies such as blockchain could be an essential component of these relationships as it enables improved trade processes and outcomes. But, there are considerable hurdles to adopting new technology into highly-regulated areas – first and foremost banks want to ensure customers’ data is secure and protected.
Speaking at April’s UK FinTech Week the FCA’s Executive Director of Strategy and Competition Christopher Woolard set out three objectives for measuring the success of UK fintechs:
I’d argue that we should add a fourth: banks’ single biggest ask is for early clarity and collaboration between policy makers. It’s essential that regulators and supervisors develop standards that keep pace with the way technology is developed and used, while maintaining both an even regulatory landscape and consumer confidence.