Author

Andreea Pleşea

Published

23 April 2026

Estimated Read time

5Mins

AI is no longer seen as an add-on. It is expected as a standard in enterprise IT infrastructure explains Andreea Pleşea PhD, Co-Founder & COO at Druid AI

Digital transformation is often hailed as the answer to improve productivity, and yet, despite significant investment, the UK continues to lag behind similar markets such as the US, France and Germany in productivity growth.

The UK is recognised internationally for its financial and banking sector, and it sits at the heart of the UK economy. When banks operate efficiently, businesses move faster, but when banks are slowed by operational friction, the ripple effects are felt far and wide.

UK financial institutions operate a technology stack across core banking platforms, CRM systems, contact centre infrastructure, mobile apps, fraud systems, onboarding tools, compliance platforms and knowledge bases. Each was designed to solve a specific problem, but together they have created a fragmented set of solutions that require employees to constantly switch between applications to find the information they need to answer customer queries or understand how to make improvements to the business.

This fragmentation has created an orchestration gap, and agentic AI is the technology that can bridge it – not by adding another tool, but by becoming an essential part of the IT infrastructure.

Scripted Bots are Out – Autonomous Execution is in

The first wave of banking automation focused on what is referred to as ‘deflection’. Essentially, chatbots and Interactive Voice Response (IVR) systems were rolled out with the goal to reduce call volumes and answer basic account questions. But 61% of customers still escalate to human agents because these systems fail to resolve issues. Regulated banks cannot allow public Large Language Models (LLMs) to access core systems without strict governance. They generate responses, not orchestrate workflows.

The introduction of Generative AI tools in recent years has allowed for more natural language capabilities, but improving language alone does not complete work. Many, if not all, financial institutions don’t want public LLMs accessing their core banking systems, enforcing business rules, or figuring out whether they can stand up to the test of being audited in a highly regulated industry. Quite simply, they generate responses, they do not orchestrate business processes.

The Fundamental Difference with Agentic AI

AI agents are built from the ground up to be decision-capable and goal-oriented. They are capable of executing multi-step workflows or processes across different core platforms while operating within the strict boundaries of financial governance.

If a customer asks the question “What is the balance of my current account?” an AI agent will authenticate the customer, retrieve the necessary account data from core banking systems and provide the answer. They can also help with queries such as a card replacement, updating contact details or guiding a customer through the process of a loan application, to completion. Irrespective of whether the customer chooses to engage across chat, SMS, voice or mobile banking, the AI agent won’t lose the context of the request even if they switch platforms.

Retail banking customers interact with their bank approximately 150 times per year, and when those touchpoints are fragmented across channels, cost-to-serve rises and trust declines. However, when they are resolved quickly and securely in digital channels, efficiency and retention improve.

Making the Productivity Case for UK Banking

The productivity opportunity for UK banking lies in automating the high-volume, repeatable journeys – not through rigid, scripted chatbots, but through intelligent, governed workflow execution.

High-volume journeys such as account servicing, loan applications and fraud inquiries require secure verification, system checks and downstream actions. Yet customers are often forced to escalate to human agents to complete them.

By applying unified business rules across digital channels and legacy IVR systems, AI agents standardise this fragmented logic. A single workflow can be built once and deployed consistently across web, mobile, contact centre and messaging channels. This reduces repeat contacts, eliminates ‘start over’ frustration and frees human advisors to focus on complex cases, cross-sell opportunities and relationship management.

In a market where 17- 22% of UK consumers are actively looking for a new bank or considering switching their main bank account, consistent, frictionless service is not a luxury – it’s a competitive defence.

Improve the Infrastructure Rather than Replace it

The productivity impact extends beyond front-line customer enquiries and extends to how employees can navigate the maze of business applications to onboard suppliers, generate compliance reports, update policies or process internal IT requests. Agentic AI sits across these internal systems as well, automating repetitive processes and orchestrating tasks without forcing employees to switch between interfaces.

One of the biggest barriers to adopting this transformation from CIOs and IT leaders is a fear of ‘rip-and-replace’ programmes. Core banking systems are deeply embedded with the organisation, CRM systems anchor case management and Contact Centre as a Service (CCaaS) platforms manage routing and workforce engagement.

Agentic AI does not require these embedded systems to be replaced, it securely integrates with them, creating an operational layer that improves productivity.

Conversational AI Platforms with autonomous agents act as an orchestration layer across existing stacks. They plug into core banking systems, CRM and CCaaS infrastructure, performing governed actions while maintaining audit trails and role-based access control. This highly customisable approach allows finance and banking institutions to modernise customer journeys without destabilising foundational systems.

The AI Opportunity is Clear

This is where the infrastructure argument becomes clear. UK finance and banking institutions don’t need more applications layered onto already complex, data-sensitive, highly secure enterprise IT environments – they need intelligent systems that unify what already exists.

The UK’s next productivity gains will not come from incremental feature upgrades. They will come from rethinking how repetitive tasks move across enterprise systems. Agentic AI represents a shift from tools that respond to requests to an infrastructure that completes complex tasks, at scale. For mid-to-large retail banks and credit unions, the opportunity is clear: resolve more interactions digitally, scale capacity without expanding headcount, protect margins and strengthen customer trust.

Learn more at druidai.com

  • Artificial Intelligence in FinTech
  • Cybersecurity in FinTech
  • InsurTech
  • Neobanking

Author

Dan Brightmore

Published

8 July 2024

Estimated Read time

4Mins

Digital transformation has introduced new challenges in financial cybersecurity.

The banking industry has shifted towards online transactions, leaving behind the days of brick-and-mortar branch visits for check cashing or deposits. As more and more sensitive data is transferred through internet banking technology, ensuring its security becomes paramount.

According to a 2023 survey by the Financial Services Information Sharing and Analysis Centre, 89% of financial institutions are increasing their cybersecurity budgets in 2024. This investment underscores the need for advanced internet banking security measures despite the existence of various security protocols.

In this article, we’ll explore the latest trends in internet banking security, examine real-world cases of cyberattacks, and provide valuable insights into securing your financial institution’s technological infrastructure.

Introduction to Internet Banking Security

As online banking becomes increasingly prevalent, financial institutions must prioritise cybersecurity – implementing specific measures to safeguard their systems and networks from cyberattacks.

Cybersecurity challenges in internet banking are multifaceted. Hackers employ a variety of techniques, including hacking attempts, data breaches, identity theft, malware, and viruses, to gain unauthorised access to sensitive customer data and financial assets.

A successful cyberattack can not only compromise sensitive information but also disrupt critical bank operations, causing significant inconvenience for customers and potentially leading to financial losses.

Common Cybersecurity threats

A 2021 report by IBM highlights the high cost of data breaches in the financial sector, placing it second only to healthcare. This vulnerability stems from the immense value of economic data, which can be exploited for fraud and other cyberattacks.

Beyond data breaches, financial institutions must also be vigilant against ransomware infections, phishing scams, and account takeover attempts. These threats carry the potential for data loss, operational disruption, and significant financial consequences.

In phishing attacks, cybercriminals impersonate bank representatives via emails, calls, or SMS messages. Their objective is to deceive customers into divulging sensitive information such as login credentials or credit card details.

Meanwhile, malware attacks take various forms, including worms, viruses, spyware, ransomware, and Trojans. These malicious programs can infiltrate devices, servers, or networks. If a customer’s infected device connects to the bank’s network, it poses a significant threat to overall financial cybersecurity.

Impact on consumers and banks

Cybersecurity breaches create huge consequences for both consumers and financial institutions. Consumers directly impacted by a breach may find their personal information exposed on the black market, thereby increasing their risk of identity theft.

The impact on banks, however, extends far beyond immediate financial losses from stolen funds. Beyond the initial financial blow, banks face the additional challenge of a potential erosion of customer trust. When customers fear their money is at risk, their confidence in the bank’s ability to protect them diminishes.

Mitigation Strategies

The first line of defense in ensuring robust financial cybersecurity lies within a well-trained workforce. Equipping employees with cybersecurity best practices empowers them to identify potential threats like phishing attempts or suspicious software. Regular training ensures awareness remains high and employees are prepared to act appropriately.

Organisations should also implement comprehensive cybersecurity policies and procedures. These policies should clearly outline acceptable online behaviour, data handling practices, and incident response protocols. Regularly reviewing and updating these policies ensures they remain relevant against evolving cyber threats.

Case Studies

One such case involved a social engineering attack on Experian’s South African office. A cybercriminal impersonated a representative from one of Experian’s clients and tricked an employee into releasing sensitive internal data.

Although Experian downplayed the information’s sensitivity, the South African Banking Risk Information Center reported that the breach affected a staggering 24 million customers and nearly 800,000 businesses. The compromised data eventually surfaced on a dark web forum in 2021. Fortunately, with law enforcement assistance, the data was promptly removed before widespread exploitation occurred.

The second case involves a data breach at Flagstar Bank, a major US financial institution. In 2022, the bank suffered a significant breach exposing the social security numbers of nearly 1.5 million customers. While Flagstar initiated incident response protocols and stated no evidence of data exploitation, they still advised customers to closely monitor their credit and promptly report any suspicious activity.

The cybersecurity landscape for banks is constantly shifting, demanding ongoing vigilance and adaptation. Advanced persistent threats (APTs) remain a major concern, as these actors employ sophisticated techniques to infiltrate networks and steal sensitive data.

Furthermore, the growing number of Internet of Things (IoT) devices introduces new vulnerabilities, potentially leading to large-scale breaches and botnet attacks. Emerging technologies like AI and quantum computing pose further challenges. 

While these technologies hold promise for enhancing security, they could also be exploited by malicious actors to launch more potent cyberattacks. Therefore, staying ahead of the evolving threat landscape will be a key focus for the future of cybersecurity in banking.

  • Cybersecurity in FinTech

Author

Dan Brightmore

Published

4 July 2024

Estimated Read time

4Mins

Digital payments are reshaping how consumers spend, enabling seamless online transactions. This eliminates the need for physical cash or in-person exchanges.

The payer and payee only need to bring a digital device, such as a smartphone with a digital wallet/mobile banking app or credit/debit card. People can easily do transactions if their device is linked to a bank account with sufficient funds.

The popularity of digital payments has skyrocketed since the COVID-19 pandemic. In 2023, the transaction value through digital wallets was estimated at $3.1 billion, 50% of the market share. Meanwhile, cash transactions declined by 8.1%.

The immense popularity of digital payments also changed consumers’ spending habits. Before the rise of digital payments, cash was the most common option for the majority. Although cash remains an option, the amount that can be withdrawn from the bank is limited. This limitation has led to greater control over spending for many individuals.

Meanwhile, according to an online survey of 2,000 people by Forbes in 2024, 52% said they are more likely to impulse purchase with card payments. The convenience of digital payments often leads to impulsive purchases. Whether using a card or tapping a phone for contactless payment, these methods remove friction at the point of sale.

Research by EEG also found that digital transactions give a unique psychological pleasure response to their users, making purchases easier and more spontaneous.

The cost of convenience

The convenience offered by digital payments shapes the new habit of how people spend money. Digital payments, especially contactless ones, tend to prompt people to spend more.

Contactless payment cloaks money’s value, and this reduces the pain that comes from spending cash. According to a study by ZenithOptimedia, shoppers who use contactless payment had less accurate recollection of spending than those using cash or traditional cards. This leads to contactless users spending 48% more than people using other methods.

Mobile Wallets

Meanwhile, mobile payment apps or mobile wallets also had a significant impact on consumer spending. Research shows that consumers’ risk of overspending increases while money management time decreases when using mobile wallets.

The mobile wallet strategy of using a brand loyalty program also significantly contributes to overspending. Consumers will gain reward points, discounts, or special offers by spending a certain amount through the mobile wallet program.

This will encourage consumers to repeat purchases and spend more to gain bigger rewards. Consumers will also feel less guilty about spending money as they subconsciously perceive these transactions as more beneficial and convenient.

Since digital payments are mostly done online, providers can gather a huge amount of consumer data. This data can be used to analyse consumers spending patterns and predict their consumer behaviour.

The mobile apps or card providers can send personalised promotions and enhance their customers’ experience. This targeted marketing strategy will also further push spending as people will likely be more interested in what they are offered.

As technology advances, digital payments and consumer behaviour will continue to evolve. One potential future trend is the rise of cryptocurrencies.

While many people see crypto as an investment, more platforms are now integrating crypto payments as an option for payments. However, it is still rare to see offline stores accept crypto payments.

In the future, consumers will become more aware of the security issues associated with cryptocurrencies due to their lack of regulation. They will increasingly seek out options that provide stronger security measures.

When it comes to digital payments, the use of Artificial Intelligence (AI) and the Internet of Things (IoT) are expected to be more prevalent in the future. AI can help providers to create personalised experiences by analysing consumer spending habits more efficiently and accurately.

IoT devices like smart fridges can autonomously initiate payments for consumables or services. This could lead to overspending if not managed properly, prompting more consumers to seek financial management solutions through apps or services.

As these technologies become increasingly integrated into our daily lives, the need for robust and reliable financial tools will be more critical than ever, shifting how we manage our finances in a hyper-connected world.

  • Digital Payments

Author

Dan Brightmore

Published

31 January 2024

Estimated Read time

4Mins

Read in brochure format

For our first cover story of 2024 we meet with Lloyds Banking Group’s CIO for Consumer Relationships & Mass Affluent,…

For our first cover story of 2024 we meet with Lloyds Banking Group’s CIO for Consumer Relationships & Mass Affluent, Martyn Atkinson, to learn how an ambitious growth agenda, combined with a people-centred culture, is driving change for customers and colleagues across the Group.

Welcome to the latest issue of Interface magazine!

Welcome to a new year of possibility where technology meets business at the interface of change…

Read the latest issue here!

Lloyds Banking Group: A technology & business strategy

“We’ve made significant strides in transforming our business for the future,” explains Martyn Atkinson, CIO for Consumer Relationships & Mass Affluent at Lloyds Banking Group. “I’m really proud of what the team have achieved. There’s loads more to go after. It’s a really exciting time as we become a modern, progressive, tech-enabled business. We’ve aimed to maintain pace and an agile mindset. We want to get products and services out to our customers and colleagues. We’ll test and learn to see if what we’re doing is actually making a meaningful difference.”

AFRICOM: Organisational resilience through cybersecurity

We also speak with U.S. Africa Command’s (AFRICOM) CISO Ryan Larsen on developing the right culture to build cyber awareness. He is committed to driving secure and continued success for the Department of Defence. “I often think of every day working in cyberspace a lot like counterinsurgency warfare and my time in Afghanistan. You had to be on top of your game every minute of every day. The adversary only needs to get lucky one time to find you with that IED.”

OLYMPUS DIGITAL CAMERA

ALIC: Creating synergy to scale at speed with Lolli

Since 2009 the Australian Lending & Investment Centre (ALIC) has been matching Australians with loans that help build their wealth. It has delivered over $8.3bn in loans to more than 22,000 leading Australian investors and businesses. Managing Director Damian Brander talks ethical lending and the challenges of a shifting financial landscape. ALIC has also built Lolli – a broker enhancement platform built by brokers, for brokers.

Sime Darby Motors: Driving digital, cultural, and business transformation together

Sime Darby Berhad is one of the oldest and most successful multinational companies in Malaysia. It has a twin focus on the Industrial and Motors sectors. The company employs more than 24,000 people, operating across 17 countries and territories. Sime Darby Motors’ Chief Digital & Information Officer Tuan Jean Tee shares how he makes sure digital, cultural, and process transformation go hand in hand throughout one of APAC’s largest automotive multinationals.

Also in this issue, we hear from Microsoft on the art of sustainable supply chain transformation, Tecnotree map the key trends set to impact the telecoms industry in 2024 and our panel of experts chart the big Fintech predictions for the year ahead.

Enjoy the issue!

Dan Brightmore, Editor

Author

Dan Brightmore

Published

22 November 2023

Estimated Read time

4Mins

Read in brochure format

This month’s cover story charts NAB’s journey to support SMEs with customer-centric digital solutions. Welcome to the latest issue of…

This month’s cover story charts NAB’s journey to support SMEs with customer-centric digital solutions.

Welcome to the latest issue of Interface magazine!

Interface showcases leaders at the forefront of innovation with digital technologies transforming myriad industries.

Read the latest issue here!

NAB: Reinventing Small Business Banking

A passionate advocate for diversity, inclusion and equity of opportunity, Executive GM Ana Marinkovic leads a team of 1,600+ small business experts. They lend over $1.2bn a month to Australian small businesses. National Australia Bank (NAB) plays a major role in propelling entrepreneurship across the country. Delivering better outcomes for small business owners sits at the very heart of NAB’s strategy. “Our scale and connectivity help us to tackle some of the biggest challenges facing our business and the communities we operate in,” says Ana.

TUI: Making travel plans mobile

The mobile side of TUI has never been more vital. TUI’s mobile apps were officially launched in 2013 and began as something of a proof of concept. For the entire international industry, moving from web to mobile devices was a huge shift. The initial set of apps were very skeletal and only integrated for UK and Nordic customers.

One of this year’s goals is to accelerate the native journey to make all the customer journeys native. This will further improving the customer experience. After a recent UI refresh, the app look and feel is fresh and sleek, and has plenty of exciting features for customers to enjoy. “Just in the last couple of months we’ve introduced an integration with OpenAI for a travel planner that helps you choose excursions,” Donia adds. “Seeing it grow over the years is so exciting.”

TARA Energy Services: tech fuelling growth

“Continuous improvement is woven into the fabric of the culture at TARA Energy Services,” says its proud Director of IT, Paul Parzen. “Every day, we face new challenges, both operationally in the field and strategically in the boardroom. We must make sure the organisation’s IT strategy for data management, core infrastructure, network architecture, and security is ready to meet them.”

“Some people might say, ‘wow, a pension. That sounds a little boring.’ But at the end of the day, what we do is help people retire in the best way possible and that’s a pretty good place to be.”

Those are the words of Dee McGrath, CEO of Link Group’s Retirement Solutions since May 2019. The company is a global, digitally-enabled business connecting millions of people with their pension assets – safely, securely and responsibly. 

Evara Health: Technology delivering care for all

Evara Health’s mission statement is to help people become healthy and live healthy lives, and that means all people. A lot of health organisations don’t serve everybody and their treatments aren’t available under many types of insurance. However, Evara Heath doesn’t turn anybody away. It supports the underserved and the uninsured, and patients are treated regardless of whether they can afford it. Around 25% of patients have no insurance at all, and over half are covered by Medicaid, which isn’t accepted by everyone.

Enjoy the issue!

Dan Brightmore, Editor

Author

Nell Walker

Published

25 September 2020

Estimated Read time

5Mins

Nell Walker talks to James Shanahan, CEO Revolut Singapore, regarding a new dawn of digital banking

“By re-conceiving the infrastructure of a bank, the way that a bank delivers its services, you can take an order of magnitude off the cost and you can bring a level of experience to the customer that’s not hamstrung by old tech, by old thinking, by siloed approaches…” James Shanahan, CEO of Revolut Singapore

Author

Andrew Woods

Published

26 April 2020

Estimated Read time

5Mins

Traditional banks will fall even further behind in market share and customer experience due to the global coronavirus pandemic, warns the CEO of one of the world’s largest independent financial advisory organizations.

The comments from Nigel Green, founder and chief executive of deVere Group, follow research that the use of financial apps is up by 72 per cent since mid-March.

Mr Green observes: “The pandemic has accelerated those trends that were already shaping business. These include greater inclusion of tech into our every day lives.

“Coronavirus has ushered in a new world, with digitalization and new technologies fuelling the changes. This can be seen by demand soaring for video-calling platforms such as Google Hangouts, Skype, FaceTime and Zoom amongst others, as more people than ever work remotely.  

“It’s also underscored by the increasing use of fintech apps which allow users immediate, on-the-go, 24/7 access to, use, and management of their money.”

He continues: “There’s a historical precedent for what’s happening now.

“Banks and other traditional financial services providers were, in most cases, spectacularly caught off guard by the 2008-2009 financial crash.
 
“As they found their way into a new world with a new regulatory landscape and new customer expectations, business and tech developments were way down their to-do list. They were in survival mode.

“This is when agile, tech-driven challenger banks and fintech firms swooped in to fill the void left between what traditional financial services companies, especially the traditional banks, were offering and what customers were expecting, especially in terms of customer experience.”

Mr Green goes on to add: “The fintech firms, which offer mobile banking, savings and investment apps, and peer-to-peer lending, amongst other services, now have a decade of development, experience and expertise over many traditional banks.

“As even more people are now embracing fintech due to Covid-19-triggered social distancing, isolation and lockdowns, and as the apps are growing in popularity due to their convenience, increased security, and as people become ever-more tech-savvy, it’s likely that ‘bricks and mortar’ banks will fall even further behind in market share and customer experience.”

The deVere CEO concludes: “Coronavirus is going to further disrupt the wider banking sector. It will act as another catalyst for people to seek fintech alternatives to access, manage, use, save and invest their money across the world.”