Five major U.K. banks are reportedly about to miss a key deadline in the nation’s Open Banking initiative, according to news from The Telegraph on Wednesday (Dec. 20).
HSBC, Barclays, RBS, Santander and the Bank of Ireland reportedly needed more time from the U.K. Competition and Markets Authority to comply with the Open Banking rules that would make it easier for their customers to switch banks, the publication said. The competition regulator has granted extra time for each of the financial institutions (FIs), ranging from a few weeks to a year.
The Open Banking rules, which aim to facilitate data sharing between banks and other financial service providers, come into effect next month for nine top banks in the nation. Four other banks, Allied Irish Bank, Danske, Lloyds Banking Group and Nationwide, will reportedly make the deadline.
In a statement, a spokesperson for HSBC said the FI remained “committed to delivering Open Banking.” A Barclays spokesperson said its APIs are “built and ready” but that the bank needs more time to test the solutions.
Santander similarly said it was “committed” to the initiative and said “nearly all Santander personal and business current account customers” will see the Open Banking changes by the deadline.
According to an RBS spokesperson, “Whilst the vast majority of the work needed to fulfill our Open Banking obligations have been completed, the service for our Bankline commercial customers will be finalized by Feb. 12 so that all our customers have the best experience possible.”
The publication said a spokesperson for the Bank of Ireland was not available to comment.
“The first set of Open Banking APIs will go live to third-party providers on Jan. 13,” said Imran Gulamhuseinwala, trustee of the Open Banking group. “It’s an extraordinary achievement which, in time, could fundamentally change how we manage our money.”