UK senior citizens boost online banking popularity

Britain’s senior citizens are contributing to online banking’s popularity with about 2.3 million people aged 70 to 100 banking online

Britain’s senior citizens are contributing to online banking’s popularity with about 2.3 million people between the ages of 70 and 100 banking online, according to a banking industry group.

The BBA found nearly 6.5 million of the over-60s bank online. This compares with about 15.7 million between the ages of 18 and 34; and 12.5 million between 35 and 49 year old.

The group found over 450,000 people aged over 60 use banking apps on smartphones and tablets.

The results reveal the elderly are contributing to the popularity of digital banking services. Recent research from Fujitsu found that online banking is the most used digital service in the UK; and that 67% of people surveyed said they bank online, as they seek to make every day processes faster and simpler.

The BBA’s Way We Bank Now report also found that older customers who use mobile and internet banking typically use it as frequently or only slightly less often than younger people.

Inclusive technology

“Customers of all ages like the fact that they can now make payments, check balances and do other banking tasks from the comfort of their home without trudging into town. It’s precisely because these technologies are so popular with people of all ages that banks are investing so heavily in them,” said BBA CEO Anthony Browne. He added that the survey proved that it is a myth that digital technology is only for the young.

“Not everyone will want to harness these new services, but it’s vital that no-one feels excluded from this easy-to-use technology, and that banks continue to give all the support they can to those who want to learn how to join what is fast becoming a banking revolution.”

The figures have been compiled from a number of banks including Bank of Scotland, Barclays, First Direct, Halifax, HSBC, Lloyds Bank, Metro Bank, NatWest, Royal Bank of Scotland and Santander.

Traditional banks must invest in digital technology such as mobile apps and online platforms to retain customers. Research from Vocalink’s mobile banking subsidiary, Zapp, revealed a massive 21 million British people would change banks to access mobile payments, with 33% of these planning it over the next year.

The research carried out by Atomik Research showed 44% of consumers plan to switch accounts if their current bank has no plans to offer mobile payments.

Read more on IT for financial services