More UK consumers are using financial apps, study shows

A study from money management app Yolt has shown that more consumers in the UK are using financial apps to help them keep control of their finances.

The research showed that 70% of UK consumers are now using financial apps, up from nearly 40% in 2016.

Competition

Millennials were found to be the biggest users of financial apps, with 89% using them to manage their money. Over-55s are also seeing the benefits, with nearly 50% using them.

With the rise in use of financial apps, the research also looked at Open Banking, an initiative that was introduced in January 2018 to boost competition in the banking sector.

The study found that 6% of UK consumers believe that the initiative has increased competition between banks and financial services providers, whilst 20% said that they are now able to have access to all of their accounts in one place. However, awareness of Open Banking still continues to be low.

Just 22% of respondents said that they were aware of the initiative; 60% have not received any information about Open Banking changes from their bank, and 22% did not know or were unsure if they had been given information on Open Banking changes or not.

Benefits

Commenting on the study, Yolt COO Leon Muis said: “Nearly three quarters of Brits are now using some kind of app to manage their money. This is great news as we see Open Banking transform the way consumers interact with the retail financial services sector. However, we still have a way to go in educating consumers on the latest benefits available to them through Open Banking. We’re really excited at Yolt to be leveraging Open Banking and empowering our users to do more with their money.”