People in the UK are increasingly using digital tools to bank, budget and borrow. Yet familiarity with these services does not necessarily mean people feel confident managing their finances online, according to an article published by POLITICO.
The article highlights a contrast between a 22-year-old and a 70-year-old: both are increasingly likely to use digital financial tools, but their confidence in doing so may differ. It defines financial empowerment as having the knowledge, skills, tools and opportunities to take control of one’s finances and improve financial wellbeing over time.
Advances in digital technology, data and analytics have enabled the shift towards online financial services. The article argues that how confident people feel using them is central to financial empowerment in Britain, and a matter for both policymakers and the banking industry.
Sources: Politico Europe.