By Lani Buckley
Business Development Executive
September 2017

Could you really trust a bank?

There’s an issue with trust. According to the Edelman Trust Barometer, 45% surveyed in the UK didn’t trust financial institutions to ‘do what is right’. It’s not hard to understand why. For many, the credit crunch of 2008 is still fresh, there are regular headlines of ‘fat cat’ bank bosses receiving bonuses greater than most of us will earn in a lifetime and with Brexit looming, the economic mood could be described as cautiously optimistic.

Focussing on contributing to our communities through CSR (corporate social responsibility) is the greatest opportunity to build consumer trust in financial institutions. The Edelman Trust Barometer found that 83% of respondents believed contributing to the greater good was key and important to building trust, second only to protecting personal data. Yet, only 61% felt our actions as financial institutions lead to achieving the greater good. The stakes are high and an authentic CSR programme will help bridge the trust gap.

At Ikano Bank, CSR is in our DNA and firmly embedded in our culture. In the UK, we've launched Cheese Matters with Capital One and Eversheds Sutherland. Co-workers volunteer to run interactive workshops at Nottingham secondary schools teaching students how to be sensible managing their personal finances and responsible when borrowing money. Later this month, we’ll launch our 2nd annual Ikano Health Week, where a donation is made for every kilometre a co-worker walks, runs or cycles. In 2016, co-workers globally raised £91,500 for Rainbows Hospice during health week. The culmination of Ikano Health Week is the Ikano Bank Robin Hood marathon, half marathon, mini marathon and schools challenge that we’ve sponsored since 2012. These are just a few examples of how we’re contributing to our community.

Building consumer trust doesn’t start and end with CSR. At the forefront, everyday business practices must be ethical and naturally lend to 'doing what is right'. How we interact each day with co-workers, partners, suppliers and customers is the real test and measure of how well we ‘do what is right’.

There are competitive and commercial gains to be made from a focus on 'doing what is right'. According to Foresight Factory, “40% of European Millennials say they consider the ethical and social stance of providers when selecting a current account." Banks are looking for ways to innovate and engage with an ethically minded consumer. A good example is the Bank of Aland and the Aland Index, that measures an individual’s carbon footprint based on transactions on their Baltic Sea card. The cardholder can then decide to change their behaviour to reduce their carbon footprint or contribute to an environmental initiative, locally or globally. There’s no doubt as businesses focus more on connecting emotionally with consumers, further ethically minded innovations will be made.

So, “Could you really trust a bank?” Absolutely! Ikano Bank is definitely a bank to be trusted. We are genuinely driven by ‘doing what is right’. Living our brand values is how we make a difference to our community every day: Working Together, Daring to be Different, & Common Sense and Simplicity – how we work is a key reason retailers choose us. Delivering our brand promise On Fair Terms means we’ll always ‘do what is right’. Not just for ourselves but for our retail partners and customers.

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Ikano Bank is a provider of omnichannel retail finance solutions partnering with retailers in the UK for more than 20 years.