What is open banking and how will it help me?

Banks and regulators claim 'open banking' marks a seismic change. But what benefits will customers receive - and when?

 by James Connington Amelia Murray
The Times

From Saturday, new rules will force the UK’s largest banks to share detailed customer data with approved companies, in a bid to increase competition in the banking sector.

When you sign up to a product or service with a company that is enrolled on the open banking register you will be asked for permission for your current account data to be shared. Data from other account types will likely be added in the future.

The introduction of open banking has raised a number of security concerns. These include companies fraudulently pretending to be part of the new system to obtain individuals’ data, a larger number of firms holding data increasing the risk of hacking, and customers losing track of who has access to their information- or failing to read how their data will be used.