Over 10 million consumers and small businesses are using Open Banking technology in the UK, according to Open Banking Limited (OBL).

The implementation agency estimates that the Open Banking ecosystem is already worth over £4 billion to the UK economy, which it says has attracted investment and facilitated the creation of almost 5000 skilled digital jobs across the country.

OBL said that the growth of Open Banking, which first launched in 2018, has been driven by competition, suggesting that when one company focuses on rolling out the model their direct rivals tend to follow suit.

It added that the organisation has observed existing providers expand their offer and use of Open Banking and other creative payment tools.

According to OBL, Payment Initiation Service users have increased 61 per cent over the past 12 months compared to the previous year, while Account Information Service users have grown 27 per cent.

Earlier this month, the government committed to introducing smart data powers through a new Digital Information and Smart Data (DISD) Bill.

OBL said this legislation will unlock the full potential of Open Banking and provide further long-term growth.

“Consumer empowerment is core to Open Banking and it’s fantastic to see more and more people and small businesses take advantage of the financial opportunities open banking provides,” said Marion King, OBL chair and trustee. “From access to cost-effective credit, building a regular savings habit or making more informed financial decisions, Open Banking is delivering the means for millions of people to improve their financial wellbeing, delivering a true public good.”

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