A survey completed by CRIF says the youth in the UK are more interested in adopting digital banking in comparison to their continental Europe counterparts.
The research claims one in five (21%) of those aged 18-34 in the UK would now choose a bank based on it having a nearby branch.
At the same time, consumers in “all other European countries surveyed” put a convenient bank branch as a top deciding factor in choosing a bank.
CRIF states that Europeans aged 18 to 34, by country, prefer a bank branch nearby as follows:
- Italians are twice as likely as Brits to choose a bank based on this (42%),
- French (33%),
- Austrians (31%),
- German (32%)
- Spanish (30%)
As well, 26% of British youth say they want a bank that offers detailed budgeting and analysis of their spending, and 23% say they would choose a bank that shows them their credit score without having to leave their banking app. One in five (21%) also want to be able to submit information and documentation digitally rather than in-person or by post.
When you look at an older population, those 35 and older in the UK, a physical branch is still important.
Additionally:
- 45% of young Brits say they would be happy to share more of their financial data if it helped them keep track of spending, save more easily and help with credit or loan applications.
- 42 also say they are now comfortable connecting third-party apps to their banking services to help them manage their finances, significantly higher than those aged 35-54 (22%) and over 55s (5%).
Sarah Costantini, Regional Director for the UK & Ireland at CRIF, says a general trend is clear for young people in the UK, leading the rest of Europe in adopting digital banking services.
“Banks and lenders must now adapt and keep up with this shifting consumer demand, as well as recognising that consumers are becoming increasingly willing to share their financial data if it means that they can better manage their finances. Technologies such as open banking are laying the foundations for not only increased financial support, but tailored financial products and services too.”
The UK is a noted Fintech hub, frequently viewed as the leading center for Fintech innovation in Europe. The UK has long been a top financial services center and industry insiders and policymakers aim to maintain this status by adapting to the future of finance.