Announcing the Open Banking Development Group

The ODI has launched an Open Banking Development Group (OBDG) to drive open innovation around an open banking standard, on a UK and international basis. The launch of the OBDG has been welcomed by the Financial Data and Technology Association (FDATA) and the Scale-Up Institute. The nine institutions named by the Competitions and Markets Authority (CMA) welcomed the ongoing interest from, and engagement with, all stakeholders, including the ODI as a representative of the fintech and broader communities.

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Paul Horlock (Chair, Implementation Entity Steering Group) commented:

The ODI’s expertise and knowledge of this growing sector will provide vital input as the work develops.

AIB Group, Bank of Ireland, Barclays, Danske, HSBC Group, Lloyds Banking Group, Nationwide, RBS Group and Santander are currently working together to create the Implementation Entity that will deliver an open API standard, open data and data sharing. The institutions believe strong stakeholder engagement is critical to ensuring the successful delivery of this work in an open and transparent process, part of which will be working with the Implementation Trustee once appointed, to ensure the appropriate governance is in place for this to happen effectively.

Irene Graham (CEO, Scale-Up Institute) said:

The Scale-Up Institute welcomes this collaborative initiative to drive forward ‎financial services innovation to the benefit of consumers and place the UK at the leading edge of open data standards in banking, which should enable further growth opportunities across sectors.

Working together, the banking, fintech and consumer communities can achieve real step change. We look forward to the developments this initiative will bring.

The OBDG will create a global community of open banking leaders that play an important role in shaping any open banking initiatives, including any regulatory developments (such as the UK Competition and Markets Authority’s (CMA) final retail banking remedies and the European Banking Authority’s technical standards for the revised Payment Services Directive (PSD2)).

The ODI is a non-partisan, not-for-profit organisation that connects, equips and inspires people around the world to innovate with data. In the banking sector, we want to see all retail banking players (including large and small banks, fintech businesses, consumer groups and regulators), and related businesses, working openly and collaboratively to ensure the full potential of open banking is unlocked for everyone. To achieve this, any open banking standards need to be supported by a broad community that embraces an open innovation environment.

In 2015, we co-chaired the Open Banking Working Group (OBWG), initiated by HMT, which had over 150 contributors from across the financial sector. The OBWG report has since been endorsed by the CMA and has been picked up by governments and other organisations globally. We will help the OBDG to build on the success of the OBWG and expand it with a global outlook: the ODI has been discussing the OBDG with interested governments and organisations across Europe, the US, Mexico, New Zealand and others.

As an open standards project, participation (eg mailing lists, contributions to GitHub, etc) in the OBDG will be open to anyone for free. Patrons, sponsors and members of the OBDG will receive additional benefits in return for a financial contribution that will ensure the sustainability of the OBDG.

Join today to engage in the design and delivery of the programme

A membership proposal for the remainder of 2016 is available here, as are preliminary ideas about how the OBDG might be governed and how it could work with any open banking implementation entity created by the CMA.

The vision, mission and values of the OBDG are available here. All of this is open for comment from any interested parties and we encourage you to provide your comments. The final structure and priorities of the OBDG will be shaped by members, sponsors and patrons who get involved. By announcing the OBDG today, the ODI is raising a flag for people to gather around to openly discuss what the open future of banking should look like.

Banking is built around trust and confidence. So is open innovation. Building a sustainable open banking ecosystem trusted by a wide range of participants, while also keeping the regulators happy, is a challenge that needs bold leadership. The OBDG will create a global network of leaders who are up to this challenge. We encourage you to get involved.

Linked documents

To become a patron, sponsor or member of the OBDG, or for more information, please contact [email protected].

This article was updated on 4 August to add the Scale-Up Institute’s statement.