Insight Type: Report

We’re pleased to publish our third Open Banking Impact Report, which regularly assesses the progress of open banking adoption in the UK and its impact on both consumers and small businesses.

Progress is positive, as the availability – and range – of services continues to expand, and adoption continues to grow.

As part of this report, we have also produced independent research into small business use of open banking-enabled cloud accounting services, and we explore how these services are supporting the management of their accounting needs and business decisions.

Unique research into business use of cloud accounting
We believe this is the first research of its kind, offering unique insights into how seamless access to real-time open banking data is helping to improve financial decision-making, as well as helping to tackle perennial business problems such as productivity and late payments.

You can view the full report here.

Key insights include:

Business benefits from open banking
Key insights from our research into business use of open banking-enabled cloud accountancy services allow us to understand, for the first time, the types of businesses regularly using open banking and the benefits they see from it.

It appears that open banking plays a key role in cloud accounting, and 72% of respondents rated the ability to connect to a bank account as an important feature of their cloud accountancy service. A further 58% felt the same about the availability of real-time transactions, a consequence of open banking connections.

“The OBIE’s third Impact Report shows that not only are more small businesses adopting cloud accounting services since the introduction of open banking, but also that these services are helping small businesses become more efficient, make better decisions, and collaborate more effectively with their accountants.” Mark Chidley, OBIE SME Customer Representative

We also know many small businesses find it hard to accurately understand their current financial status. An overwhelming majority (77%) of respondents report that they now have more immediate and accurate insights into their financial position at any given time as a result of using these services.

Mark Chidley, OBIE SME Customer Representative, said: “The OBIE’s third Impact Report shows that not only are more and more small businesses adopting cloud accounting services since the introduction of open banking, but also that these services are helping to address some of the extraordinary challenges which confront small businesses in 2022 and beyond.

This latest research brings valuable insights into the various ways in which open banking-driven cloud accounting services are helping small businesses become more efficient, make better decisions, and collaborate more effectively with their accountants.”

As well as the positive impacts for small businesses, continuing regular monitoring of open banking’s impact represents an essential method of ensuring it delivers for all end-users – both consumers and small businesses.”


Research methodology

This report is intended to provide regular insights into the development of open banking in the UK, focusing on outcomes for end users. It is built using a methodology developed by the Personal Finance Research Centre at the University of Bristol. The insights are based on a number of data sources and research studies which are detailed in the methodology sections. Because of the fast pace of change and difficulty in definitively establishing end user outcomes, findings are indicative and should be used for information purposes only. For more information on the research design, please view the full report.

You can read our previous Open Banking Impact Reports here:

In our second Impact Report (October 2021) we evaluate the continued expansion of open banking services in the UK and their growing adoption.

We also analyse consumer reaction to open banking services and explore whether they are changing how individuals manage their finances and whether they are seeing long-term benefits to their financial health.

The key insights in this Impact Report are:

About this report

The Open Banking Impact Report is a key tool to help policymakers and others in our ecosystem to understand how open banking is developing and whether it is helping the UK’s consumers and small businesses.

The report is built using a methodology developed by the Personal Finance Research Centre at the University of Bristol. The insights are based on several data sources and research studies which we detail in the methodology sections. We produce a new report every six months.

Read the report.

The Trustee of the Open Banking Implementation Entity (OBIE) has instructed OBIE to develop a Consumer Evaluation Framework (CEF) to properly assess the impact of open banking on retail consumers and SMEs. The framework is intended to provide the basis for measuring the delivery of key consumer outcomes envisaged by the CMA Order and was developed by the Personal Finance Research Centre at the University of Bristol.

Read the report.

Building on the insights from our recently published Annual Report, this 2020 round up details some of the achievements and milestones from across the open banking ecosystem.

Created in the interests of transparency – to provide an overview of the OBIE’s activities for 2020 and 2021.

2020 was a transformational year for open banking and for the Open Banking Implementation Entity (OBIE).

Open banking, and the Open Banking Implementation Entity, have come a long way since the Competition and Markets Authority’s retail banking market investigation in 2016.

This report explains who we are and why our role matters; it summarises our work across 2020 and 2021, and it provides an overview of open banking-enabled products and services. We highlight the day-to-day activities at the OBIE, as well as an overview into our governance and financials.

Read the OBIE’s Annual Report today:

The OBIE’s Annual Report – Digital edition

Read the OBIE’s Annual Report for 2020 and 2021 on our digital Foleon platform – optimised for desktop, tablet and mobile to ensure a smooth and engaging user experience.

The OBIE’s Annual Report – Print edition

Access the OBIE’s Annual Report for 2020 and 2021 as a PDF – either through your browser or on whatever document reader software your organisation enables.

What’s in store for open banking
Learn about the OBIE’s

objectives and ambitions for the rest of 2021, as we continue to build momentum and enable the thriving open banking ecosystem.

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We’ve come a long way in the last three years.

  • Curating a vibrant ecosystem of banks and fintechs
  • Facilitating the use of a common set of standards
  • Enabling API volumes to grow and adoption to build

Open banking – the future of money, where you’re in control.

Review the presentation material, early impact analysis and Q&A recap from our recent eIDAS webinar, reviewing the FCA’s statement on TPP identification post-Brexit.