TLT partner Robin Penfold talks, as part of The Lawyer's In-house Financial Services Virtual Conference, about the need for innovation in the retail financial services sector, and seizing the green finance opportunity.
The retail financial services sector looks to emerge as one of the hardest hit by COVID-19. Data from UK Finance shows over 1.6 million mortgage payment holidays have been offered to homeowners impacted by COVID-19 (this means a staggering one in seven mortgages are now covered by payment holidays) and almost 1.5 million payment holidays have been approved on credit cards and personal loans.
As the economy emerges from lockdown and retailers and the housing market reopen, never before has innovation in the retail financial services sector been more needed. For retail financial services providers, the opportunity to secure their role in the green economic recovery is now.
A recent report from the Green Finance Institute’s Coalition of Energy Efficient Buildings (CEEB) provides a vital step towards bridging the gap between policy-maker’s energy efficiency and net zero targets and private finance.
Consumer behaviour appears to be changing too. Anecdotally I hear from a number of lenders that are seeing increasing demand from consumers for products with purpose that align with their values rather than making decisions on price alone.
Ready availability of private finance is critically important to meeting these targets, including decarbonising and adapting the UK’s housing stock to drive energy efficiency. The CEEBs work is likely to provide a catalyst for consumer finance providers to start exploring the product development opportunities in this market with earnest. As more data emerges about the market opportunity as well as the legislative, regulatory and ethical drivers, expect to see this as a key product development trend for 2020/21.
As we think about the future of society and the economy, green finance represents a real opportunity for change. What better time for legal teams to support transition to a low-carbon economy and facilitate innovation, by working with product development teams to ensure the retail financial services industry emerges strong and sustainable.
TLT advise Ultimate Finance on 20m loan-on-loan facility from OakNorthRead more
Green financeRead more
Timeline of green finance developmentsRead more
Financial services investigations and enforcement round-up - July 2020Read more
Recent green finance developments - LMA principlesRead more
Recent green finance development - EU taxonomyRead more
Court of Appeal rules in favour of landlordsRead more
Restructuring teams during Covid-19 - tips for lenders managing...Read more
Lessons to be learned from the FCA's Enforcement action against...Read more
Green finance is gaining speed, driven by global climate change pressures and the recognition of the vital role which sustainability plays in a resilient financial services sector.Read more
Keep on top of the employment law issues that matter most to you and your business with our new podcast.Read more
As businesses adjust to new ways of working and plan for an uncertain future, we keep track of the emerging legal and regulatory issues.Read more
Keeping you up to date with the latest guidance on regulatory change and legal impact of the coronavirus pandemic.Read more
While future trading relationship with the EU is negotiated, we will be in a 'status quo' transition period until 31 December 2020. Follow our latest updates.Read more
Our Senior Managers Regime hot topic features news and insight to help banks, building societies, investment firms and UK branches of foreign banks prepare for the new regime.Read more
The clock is ticking for firms to prepare for moving from LIBOR to sterling risk-free rates. Follow our insights and events for strategic advice.Read more
We approach a brave new world of Gigabit full-fibre fixed communications, 5G mobile technologies, data driven markets enabled by true AI, with the potential for huge commercial and social growth and benefits. Follow our...Read more
Open Banking is driving innovation in banking and customer experience but also presents new challenges around security and data protection.Read more