海角视频 fintech firm, Clearbank, has unveiled plans to enhance its embedded banking services and challenge traditional banks in a new arena.
The company criticised the outdated "one-size-fits-all" strategies of long-established high street banks as "no longer fit for work", and outlined plans to contest conventional transaction services in sectors such as travel, hospitality, and payroll, as reported by .
Clearbank's 海角视频 Chief Executive, Emma Hagan, told City AM that the firm was introducing a "proven model to corporate businesses."
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Specialising in application programming interface (API) payments, Clearbank acts as a go-between for different entities – like payment processors, gateways, and banks – enabling eCommerce platforms to process payments.
Traditionally collaborating with fintech peers and challenger banks, Clearbank is now targeting corporate businesses as a fresh market.
The group's new embedded banking proposition aims to enable non-financial businesses to smoothly incorporate a fully regulated and protected bank account onto their platform.
However, it faces fierce competition in this area as it attempts to lure the corporate base away from traditional incumbents.
The firm will directly compete with Natwest's banking-as-a-service arm, Natwest Boxed, as well as fintech heavyweights like Stripe, which have a significant presence in the embedded finance market.
Clearbank expands into booming market
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The Business Research Company forecasts the embedded banking market will hit $67.6bn (£48.4bn) with nearly 26 per cent average annual growth by 2029.
Hagan emphasised that Clearbank's competitive edge lies in the fact that payments and accounts represent "a side offering – it is our core offering" rather than "a side offering – it is our core offering."
The company will target businesses already utilising API systems but frustrated with the technology provided by established players, she revealed.
When questioned about Clearbank's wisdom in extending banking capabilities to non-financial enterprises, Hagan explained the fintech collaborates with partners to ensure "there's real clarity over roles and responsibilities."
The approach would guarantee it "doesn't dilute, water down or change the core bank standard, compliance controls or resilience that sits around the bank account," she noted.
Hagan identified the payroll and travel industries as prime candidates that could capitalise on Clearbank's embedded banking proposition.
A travel company could leverage the fintech's API-powered platform to deliver "certainty of funds" to all stakeholders, Hagan explained, with customer payments secured in a protected account whilst hotels and airlines receive assurance the money is accessible and ready.
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Meanwhile, payroll services could utilise it to establish "save-as-you-earn" programmes, she suggested.
This latest expansion arrives as the company, established in 2017, accelerates its global ambitions following its achievement of profitability last year. In 2024, the company recorded a pre-tax profit of £9.9m after securing more than 250 new clients, including notable names such as Wealthify, Airwallex and Revolut.