Less than a third of Brits (28%) are aware of Open Banking, according to research by YouGov.
Some 45% of respondents did not understand the ways they could use Open Banking, despite a description being provided by YouGov, while 18% did understand.
Over three-quarters of those surveyed (77%) would be concerned about sharing financial data with companies other than their main bank.
Matt Palframan, director of financial services research at YouGov, said: “The introduction of Open Banking was hailed as a revolution for the financial sector, however, what we’re actually seeing is more of a slow and silent evolution.
“More needs to be done to allay consumers’ fears about data security, while financial service providers will also need to ensure that there are real benefits for consumers who are prepared to share their data in this way.”
The research found that only 14% of those aged 18-24 had heard of the initiative, whereas 39% of those aged 55+ had heard of it.
Matt added: “It is surprising that the older generation is more aware of Open Banking, as we may expect a younger, more tech-savvy audience to be interested in the groundbreaking products and services.
“The reality may be that true innovation is yet to take place and the products and services currently available are not really considered necessary.”
Account aggregation was seen by respondents as the most innovative service related to Open Banking, with 20% of them stating this.
Almost two-thirds of UK adults (63%) were unsure about the impact Open Banking would have, while 14% believed it would benefit consumers, 22% stated that it wouldn’t.
“It will be interesting to see how things evolve and whether or not a truly innovative product or service can create real disruption in the market and overcome consumers’ concerns about sharing their data,” Matt concluded.
SIGN UP TO OUR NEWSLETTER TO RECEIVE MORE NEWS LIKE THIS STORY
NAB appoints new group CEO and MD
National Australia Bank (NAB) has named Ross McEwan (pictured above) as its new group chief executive officer and managing director...
The Co-operative Bank extends free SME banking offer
The Co-operative Bank has extended its free banking introductory offer for new SME customers by a year...
Cloud migration: Key considerations for financial services
More than ever, it is imperative for financial services organisations to migrate to the cloud...
Maria Harris set to leave Atom bank
Atom bank has revealed that its director of retail mortgages Maria Harris (pictured above) is set to leave to become an independent consultant in the mortgage market...
Handelsbanken reports 6% surge in UK lending
Handelsbanken has reported a 6% increase in UK lending to £21.4bn in Q2 2019, compared with Q2 2018...
Tandem reveals development of new mortgage product
Tandem Bank has revealed that it’s developing a new mortgage product which will be suitable for first-time buyers...
Goldman Sachs invests €25m in Raisin
Goldman Sachs has provided €25m of funding to Raisin...
The power of partnerships
Since our launch in September 2015, we have proven our ability to innovate in the UK savings market, which has been recognised with various savings awards...
N26 rebrands premium account
Mobile bank N26 has launched a premium accounts product named N26 You...
Sesame adds Investec Private Bank to panel
Investec Private Bank has been added to Sesame’s panel...
84% would change financial services provider due to poor complaints experience
More than eight out of 10 customers (84%) claim that they would change financial services provider due to a poor complaints experience, according to the latest research...