According to Reuters, the UK Financial Conduct Authority has started investigating how open finance can be extended to cross-sector services.
The FCA has announced investigating whether sharing data with outside competitors could be extended beyond banks to savings, insurance, mortgages, investments, pensions and consumer credit to increase innovation and choice. ‘Open banking’ rules already allow payment companies and other providers to use account data, with customer consent, to offer rival services and has opened the door to payments services for many financial technology or “fintech” firms.
Britain’s FCA said that going a step further with open finance could set up “dashboards” to help consumers keep an eye on their finances, encourage shopping around for better deals, and become a means to obtain financial advice. The FCA said there have been several instances of unfair price discrimination on longstanding consumers in general insurance, cash savings and mortgage markets.
The British regulator opened a “call for input” until March 2020, after which it will publish a feedback statement, and gave examples of where data could be shared:
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