Banking on Change: The Development and Future of Financial Services

PRAISE FOR Banking on Change "In this 140th Anniversary celebration book, The London Institute of Banking and Finance stick to their core function of educating us all, but especially aspirant bankers, on the role and concerns of (retail and commercial) banking in the UK. They have assembled a well-chosen group of practitioners from a range of professions to write clear and easily assimilable essays, no technical expertise required, on a wide variety of current banking issues. If you want to learn about the current practices and problems of UK retail banking, this book must be essential reading." --Charles Goodhart, emeritus professor of banking and finance at the London School of Economics "In this important book, a line from Bill Allen's contribution is key: 'Nobody can predict the ferocity of the gale of creative destruction' that faces the financial services sector. True; but if you read the many and varied contributions, you'll have a pretty good idea. Moreover, you'll understand how we (that is, bankers) got here - and what we should do to make the industry more competitive, fairer and more genuinely useful. It is a soup-to-nuts look at banking - from the early days of the Institute of Banking, through the go-go years of ifs, to a present and future that are likely to be dominated by technology. It is well-worth a long read." --Andrew Hilton, director, Centre for the Study of Financial Innovation "If you were to imagine what a book celebrating 140 years of financial knowledge might contain, you could not come up with a better selection than this. As well as a historic sweep - from no-tech to fintech, the decline of trust and the rise of competition - today's hot subjects are addressed, including sustainable investing, cultural diversity and digital identity. The cradle-to-grave nature of the industry is captured in pieces about financial education and pensions. And it's well written, setting the scene nicely for the next era." --Jane Fuller, Fellow of the Society of Investment Professionals Financial services are undergoing rapid, and potentially dramatic, change. What will happen in payments, in sustainable finance and in fintech? How can the industry boost financial inclusion and ensure that its workforce has the skills it needs to meet regulatory requirements and to compete with new entrants? Can trade finance rise to the challenge of underpinning global trade for all and help the developing world avoid "financial abandonment"? What do financial services need to do to protect our digital identities? Banking on Change provides insights by experts and influencers from across the financial services industry on these and other questions. Published to mark the 140th anniversary of The London Institute of Banking & Finance, this book is intended to be of lasting value to both students and professionals.

Author Biography: The London Institute of Banking and Finance was established in 1879 as the Institute of Bankers, with a commitment to provide leadership on banking practice that was accessible to everyone working in the sector. The Institute quickly became central to the banking community in England and Wales and its influence spread around the world, evolving in line with the financial services and banking industries. Today, the LIBF has professional network of more than 20,000 members and alumni. Dr Ouida Taaffe is the editor of Financial World, the magazine of The London Institute of Banking & Finance. She has been a trade journalist and editor for over 20 years, with a background in reporting on both financial services and technology.

About the Editor vii About the Contributors ix Foreword by Steven Haberman xv About the Book xvii Introduction: Navigating the Centuries 1 Ouida Taaffe The Business of Banking - Reflections, and Directions of Travel Chapter 1 Banking, Finance and Society: What Keeps the Motor Running? 11 Peter Hahn Chapter 2 Standing the Test of Time 21 Paul Lynam Chapter 3 What Happens When Nobody is Watching: Regulation, Bank Risk Culture and Achieving Environmental Sustainability 27 Kern Alexander and Paul Fisher Chapter 4 It Takes an Ecosystem: The Future of Trade Financing 43 Alexander Malaket Chapter 5 A New Playbook for Banks 55 William A. Allen Chapter 6 Sustainable Investment: The Golden Moment 69 Elizabeth Corley Chapter 7 Living 'Off Income' 79 Richard Tomlinson Chapter 8 Power to the Customer: Disrupting Banking 93 Anne Boden Chapter 9 RIP Libor 101 Richard Northedge Chapter 10 Boosting UK Bank Competition: Still Many Cliffs to Climb 115 Martin Stewart Banking - People and Skills Chapter 11 Changing the Face of Banking and Finance 125 Shelley Doorey-Williams Chapter 12 Getting the Right Stuff 141 Mike Thompson Chapter 13 Financial Education: How to Make it Count 149 Andy Davis Banking, Technology and the Future Chapter 14 Banking on Identity 163 David G. W. Birch Chapter 15 Going Over the Top 173 Renier Lemmens Chapter 16 Banking Technology: Can the Centre Hold? 183 Anthony Gandy Chapter 17 The Future of Payments 199 Ruth Wandhoefer The Role of the Institute as a Life-Long Partner for Education Chapter 18 Life Lessons 211 Alex Fraser Index 217