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The way that fintechs and challenger banks have dominated the tech headlines in recent years makes it all the more surprising that, for the first time, a UK digital challenger bank made a profit.
The nature of tech and fintech startups means they invest heavily up front in tech and customer acquisition, with profits somewhere down the line.
But Starling Bank’s first monthly profit this year was a landmark for UK fintech, and others have announced profits since. Read more about what being profitable means to Starling going forward.
Similarly, the tech companies supporting the finance sector continue to receive the backing of investors. For example, take Thought Machine, a company shaking up how banks do core banking.
The company, led by former Google executives, is bringing techniques used by the internet giant into the world of banking. It has already become a fintech unicorn, with a valuation of over $1bn. Read more about that and other key stories of the year here.
Here are Computer Weekly’s top 10 stories about financial services and fintech of 2021:
Starling Bank is the first of the new breed of UK digital banks to make a profit, so where next?
Report by Association for Financial Markets In Europe highlights the pressure financial services firms face as they seek to balance the need for innovation with regulatory requirements.
UK fintech unicorn Thought Machine is transforming the IT of large traditional banks while working with fledgling digital-only challengers.
CIO Nicola Wadham brings Computer Weekly up to speed on the Financial Ombudsman Service’s IT challenges and successes.
Traditional bank branches are likely to disappear from the high street in the next five years, but banking ecosystems will ensure customer service levels are high, say bankers.
Deutsche Bank has agreed to sell its retail banking IT operation to one of its main IT suppliers for a token €1.
Big banks continue to close branches and invest more in technology as the Covid-19 pandemic makes a case for digital banking.
Bank boss calls for cross-industry cooperation to reduce scams that trick people into making instant payments online.