Thought leadership

Future Forces 2023: The megatrends shaping the banking industry

Bank Volt Lock

    For all the changes that digitalisation has brought to the banking sector in recent years, market structure has shifted relatively little, with incumbent financial institutions remaining dominant.

    That could change in the coming years, however, as fintechs and, potentially, big technology companies develop the capabilities to reach diverse consumer and business banking segments. Continuing regulatory support of open banking practices will accelerate the growth of such competition.

    A couple of key takeaways

    Securing the necessary talent and skills is the number one challenge that banks will face over the next ten years, selected by almost half of industry executives (42%).

    The emergence of artificial intelligence is raising the technology stakes for banks. Opportunities exist to boost efficiency and improve customer experience through hyper-personalisation, the top market development (38%) likely to have the biggest impact on banking businesses. However banks must modernise their existing IT processes and infrastructure to tap into these.

    "The genie is well and truly out of the bottle when it comes to the adoption of AI in financial services. Both regulators and legislators, globally, will be playing catch up for some time to come. The banks that can successfully implement AI technology will benefit from a large competitive advantage in terms of time and cost savings."

    Lee Doyle, Partner, Global Co-Chair Bank Industry

    Lee Doyle
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    Thought leadership

    Industry perspective: Banking

    Learn about how the megatrends are shaping banking businesses.

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    Thought leadership

    Future Forces 2023 Report

    In collaboration with Economist Impact, our analysis has identified six megatrends - powerful forces believed to have the potential to change the global economy, business and society in the next decade.

    Find out more
    The information provided is not intended to be a comprehensive review of all developments in the law and practice, or to cover all aspects of those referred to.
    Readers should take legal advice before applying it to specific issues or transactions.
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