THE boss of Clydesdale Bank has declared that sweeping reforms to the way consumers can share their financial information will not succeed unless banks are trusted more.

David Duffy, chief executive of CYBG, said the success of Open Banking is “dependent on banks being able to build on existing trust and confidence with their customers.”

His warning comes as research commissioned by the bank found that 60 per cent of consumers do not know what Open Banking is. More than 75 per cent said they would be “unlikely” to use the Open Banking service, while 80 per cent said they were not excited about the introduction of the scheme. That is in spite of surveys showing it could save consumers hundreds of pounds a year in lower bank charges.

Mr Duffy said a “joined-up effort” is needed if Open Banking is to bring a “revolution” for customers. “Many more customers would be excited about Open Banking if it were explained how much it would benefit them financially,” he added.

Open Banking allows consumers to share financial information held by banks with third party providers. It is aimed at stimulating competition in the financial services market, as well as the pipeline of new products.