Cloud accounting provider FreeAgent has claimed an industry first after securing Open Banking data links with the UK’s biggest banks.
The Edinburgh-based fintech said it has become the first accounting software company in the UK to link banking data from “CMA9” lenders, including the Royal Bank of Scotland and Lloyds Banking groups, which it claims will provide business customers with greater visibility of their finances.
This means that FreeAgent, which was acquired by RBS last year, will be able to provide Open Banking data feeds to customers of CMA9 banks, which together operate more than 80 per cent of the UK’s small business bank accounts.
FreeAgent’s data feeds are currently in the beta testing phase, with a target launch date set for this summer. Once live, the fintech claims that the connection will provide customers with a clear financial overview by delivering a fast, secure flow of data into their business bank accounts.
CMA9 banks, a group determined by the Competition and Markets Authority (CMA), were the first lenders required to provide Open Banking functions to other regulated financial services businesses.The group also includes AIB, Bank of Ireland, Barclays Bank, HSBC, Nationwide, Northern Bank and SantanderFreeAgent chief executive and co-founder Ed Molyneux said:
“Becoming the first software in our industry to connect to CMA9 banks and enable a strong, robust flow of financial data is a great achievement that shows we are at the vanguard of Open Banking for small businesses in the UK.
“Eventually, we envisage a whole ecosystem of fintech apps, features and services powered by Open Banking that will make it easier than ever for people to run and maintain a small business.”