Open banking technology provider, Ozone API, has provided an updated UK open banking model bank for Open Banking Limited (OBL), the implementation entity tasked with building the UKās open banking standard to drive competition, innovation and transparency in UK retail banking.
Ozone API explained that by updating the model bank, it is supporting the rollout of the latest open banking standards in the UK, known as āOpen Banking Standards v4.0ā (OBLv4).
OBL announced the changes, dubbed OBLv4, in early July. These changes introduce mandatory updates for the UKās CMA9 banks, with some required to be completed by as early as 31 December 2024.
While the UK open banking standard was initially mandated for just the CMA9 banks, it has become the de facto standard for the UK market. However, many UK banks remain on old versions of the standard.
Ozone APIās model bank serves as a critical testing ground for banks and financial institutions, enabling them to experiment with and refine their API implementations in a controlled and secure environment. It aims to serve as a vital resource for banks, fintechs, and other TPPs by providing a safe space to develop and test their APIs in alignment with the new OBLv4 standards.
āWeāre excited to work with our partners to support fast and high-quality API changes, ahead of the first legislative deadlines coming into force later this year,ā explained Huw Davies, CEO of Ozone API. āEnsuring a smooth transition to the updated standards is critical for banking players who want to stay at the forefront of open banking industry changes into 2025 and beyond. We are extremely proud that our market-leading platform is ready to support our customers and partners as they transition to v4.0.
āOur founding team were closely involved during their time working with the Open Banking Implementation Entity in the development of the UK Open Banking Standards, and we remain committed to enabling UK banks to make the most of open banking now and into the future.ā
Supporting open banking compliance
The move positions Ozone API as the first provider to deliver fully compliant APIs, facilitating the transition for financial institutions and third-party providers (TPPs) operating in the UK.
āOpen Banking Limited is not only committed to maintaining the open banking standard, but also supporting the ecosystem by helping participants with their journey to version four,ā added Henk Van Hulle, CEO of OBL. āThis includes upgrading the model bank to v4 to provide as much support and coverage to participants as possible including the FCS, Standards and technical guidance.ā
Ozone API has launched a comprehensive guide and a series of educational resources to accompany the new OBLv4 standards, aimed at helping banks and FIs navigate the changes smoothly and efficiently. The guide and resources provide actionable insights and best practices for institutions of all sizes.
Since the UK Government announced it would revisit the Data Protection and Digital Information Bill in July 2024, it is anticipated that the UK will see more regulatory changes related to open banking, smart data and the open data economy.
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