AUS Edition 
BRA Edition 
CA Edition 
CHN Edition 
ESP Edition 
FRA Edition 
GER Edition 
GRC Edition 
IND Edition 
ITA Edition 
NLD Edition 
NZ Edition 
POL Edition 
PRT Edition 
RUS Edition 
SWE Edition 
UAE Edition 
UK Edition 
USA Edition 
ZAF Edition 
Summary
- UK banking sector has increasingly adopted technology to innovate under business uncertainty caused by the ongoing covid-19 crisis.
- A recent report commissioned from Mobiquity saw 40 per cent of banks adopting digital technology to make their businesses greener.
- The Bank of England also announced plans to make its bond portfolio greener today as part of its
- Virgin Money stock was trending today after the company announced lower mortgage rates for its residential and buy-to-let customers.
The UK banking sector has increasingly adopted technology such as fintech tools and offering different services since the onset of the pandemic last year as a way to innovate their business models.
According to a recent report commissioned by Mobiquity, a digital transformation entity, about 72 per cent of UK based banks were reported to have adopted digital technology to make their businesses more sustainable as the nation has set a climate target to being carbon neutral by 2050.
The report found 40 per cent of banks were digitising all paper processes, and 41 per cent adopted intelligent automation. Moreover, of the banks which had implemented such measures, about 40 per cent of them benefitted in the form of customer retention, cost savings and growth driven by green initiatives.
UK ‘s central bank, the Bank of England (BoE), also announced plans to make its corporate bond portfolio greener today. The BoE invests £20 billion in corporate debt as part of its corporate bond purchase programme. The move will not include an immediate selloff but will require mandatory emissions disclosures and a roadmap for reducing carbon emissions.
Here will focus two FTSE listed banking sector stocks that were trending today:
- Virgin Money UK PLC (LON: VMUK)
UK-based financial services company Virgin Money UK is an FTSE 250 listed stock. The company announced today the reduction of its buy-to-let (BTL)and residential mortgages. It announced its 75 per cent loan-to-value (LTV) 5-year term mortgage with a £995 fee and £1,000 cashback was lowered by 0.14 per cent to 1.60 per cent. Also, it reduced rates for its other LTV offerings as well.
Moreover, it also launched a new BTL product at 3.36, having an 80 per cent LTV and a 2-year term.
(Source: Refinitiv, Thomson Reuters)
The company’s shares were trading at GBX 203.30, down by 1.12 per cent, while the broader index FTSE 250 stood at 22,387.25, down by 0.02 per cent on 21 May at 14:04 HRS GMT+1. Its five-year average dividend yield was at 0.6 per cent.
Also Read: Why Virgin Money's deal with Life Moments is crucial for its business
- Barclays PLC (LON: BARC)
FTSE 100 listed UK banking major Barclays announced today the hiring of a fintech banker, who was previously the managing director of fintech at another UK based banking giant Standard Chartered (LON:STAN). The move comes as Barclays has set sights on expanding its fintech presence in the EMEA as the industry has witnessed significant growth in the region.
Barclays US also recently partnered with fintech startup Amount to launch a buy now pay later (BNPL) service later this year.
(Source: Refinitiv, Thomson Reuters)
The company’s shares were trading at GBX 178.06, down by 0.46 per cent, while the broader index FTSE 100 stood at 7,018.13, down by 0.02 per cent on 21 May at 14:27 HRS GMT+1. Its five-year average dividend yield was 2.6 per cent.
Also Read: Barclays And Natwest Group in Focus as Business Borrowing from Banks Surge Fivefold
