Arab Today, arab today mobile makeover for britains scandalhit banks
Last Updated : GMT 15:42:19
Arab Today, arab today
Arab Today, arab today

Mobile makeover for Britain's scandal-hit banks

Arab Today, arab today

Arab Today, arab today Mobile makeover for Britain's scandal-hit banks

Lloyds Banking Group
London - AFP

With reputations tarnished by the financial crisis and a string of scandals, Britain's top banks are trying to adapt and move ahead by embracing mobile technology.

Four years ago, Lloyds Banking Group did not have a single customer accessing services via a smartphone, but today there are five million using such apps -- and counting.

"This provides huge opportunities for how we serve our customers," said Nick Williams, consumer digital director at Lloyds.

The trend is echoed across the industry. In 2015, Britain's banking industry body BBA expects 427 million branch transactions for the whole sector, compared to 895 million transactions on mobile phones.

British consumers are now among the top users of banking smartphone applications in developed nations.

"UK consumers were relatively slow in their adoption of online banking but have embraced mobile banking thanks to the ease and convenience of managing your money on the move," said Philip Benton, an analyst at Euromonitor International.

"It's understandable that the UK retail banking sector is betting on these new technologies."

A recent Euromonitor survey found 36 percent of British consumers have used a smartphone to access banking services in the past month.

That compares with 44 percent in the United States, 39 percent in Australia, 32 percent in France and 19 percent in Germany and Japan.

"It's an important evolution of the relation between banks and their customers. This could be the future of retail banking," BBA spokesman Robert Watts told AFP.

- Branch closures -

The financial crisis, scandals over rigging the interbank and foreign exchange markets and consumer challenges of mis-sold financial products have undermined trust in Britain's top banks -- and hit their balance sheets.

Lloyds and other lenders have spent about £26 billion (37 billion euros, $41 billion) alone on compensation for having wrongly sold Payment Protection Insurance (PPI).

The four main banks -- Barclays, HSBC, Lloyds and RBS -- still dominate the market, holding about three quarters of all current accounts in 2014, according to the Competition and Markets Authority.

But their hold is being challenged by foreign rivals, notably the Spanish banking group Santander, and newer establishments such as Metro Bank, Tesco Bank, Virgin Money or upstarts like Atom and Fidor.

Some of these newer rivals have been quick to use mobile technology to win over customers, notably young people accustomed to shopping and buying music on their phones -- forcing the big lenders to innovate.

Mobile banking offers flexibility for users as well as a new market for products that analyse their spending to help them manage their finances, with no need for expensive branches.

Branch transactions are predicted to fall by 37 percent by 2020, while mobile ones are set to rise by 162 percent, according to the BBA.

There are about 10,000 bank branches in Britain, but there were almost 500 closures in 2014 as big banks streamline their services and cut jobs.

Critics say the major banks still maintain a structure that is much more expensive than their newer competitors.

"The transmission of data is crucial between the bank and its customers. The big banks are too big to do that" in an innovative and efficient way, said Edward Twiddy, chief operating and innovation officer at Atom Bank, a purely online business run by a staff of about 100 people.

There are still major challenges in shifting to digital banking, however, suggesting lenders have some way before they can dispense with their old operating systems.

Royal Bank of Scotland, for example, has experienced a number of IT problems, including earlier this summer, when almost 600,000 payment orders were affected. The bank recommended clients call customer services -- or visit a branch.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today mobile makeover for britains scandalhit banks Arab Today, arab today mobile makeover for britains scandalhit banks

 



Arab Today, arab today
Arab Today, arab today Saudis await visitors but will they come?

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today Blind sheikh buried in Egypt

GMT 06:32 2017 Thursday ,23 February

Blind sheikh buried in Egypt
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Salma Rashid happy for 'A Whisper of Love'

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 06:41 2017 Monday ,20 February

Janat pleased for issuing 'Good Morning'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 17:46 2017 Saturday ,18 February

Tourist guide reveals methods of tourist attractions

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday