Mobile Banking Statistics 2024: UK Trends & Predictions

Explore current mobile banking statistics, trends, and predictions.

Updated: January 5, 2024
Matt Crabtree

Written By

Matt Crabtree

 

Banks offer a handy solution for managing a bank account and making payments from remote locations.

Their solution is mobile banking, a popular option to complete these tasks without entering a branch, whether you have a current account or a business account.

This service makes money management more convenient. Banking through mobile devices works using apps provided by digital banks.

Each demographic in the United Kingdom uses mobile banking uniquely, with some generations making the most of these services increasingly and others less so. So, what are the main trends and predictions related to mobile banking, and why do people use this service? Our financial experts have the statistics you need.

This article will reveal the key facts and trends and track the rise in popularity of this service.

Mobile Banking: A Round-Up of the Essential Statistics

Our team of financial experts have gathered the essential facts in a summary of the mobile banking statistics you need to know.

Our research includes information about user experience, secure access, and customer service preferences among account holders. These are the must-know facts:

  • In 2023, 29% of all UK bank account holders found it possible to exclusively use their smartphones to handle their finances.
  • 54% of bank account holders trust mobile banking services.
  • 64% of Generation X bank account holders use these services in the UK.
  • 60% of Baby Boomers with bank accounts recognise the advantages of mobile banking and have used this service.
  • It is predicted that biometric solutions can reduce mobile banking fraud committed through trusted accounts by 34%.
  • 43% of respondents to a survey suggest that they value face-to-face customer service in traditional banks.
  • 25% of British account holders will have made in-store mobile payments in 2023.
  • 62% of Brits would change their bank after a poor experience with mobile banking services.
  • 35% of British account holders want banks to offer or invest in innovative apps.

What Percentage of UK Account Holders Use Mobile Banking?

Nearly 70% of British people with bank accounts used mobile banking app features to manage their accounts in the initial half of 2023.

85% of British people between 18 and 24 use mobile banking, and 79% of British people between 25 and 34 have increasingly used mobile banking since 2020. In addition, people over 55 are also increasingly using mobile or online banking, with the use of these services increasing by 52% within this age group since 2020. 

What Do We Estimate Will Happen to Mobile Banking in the Future?

According to our predictions, the use of mobile banking will extend to more than 71% of British account holders by 2024.

Predictions from some professionals suggest that the apps will cause desktop or web-based banking to decline; however, at the moment, both services are highly popular. 

The percentage of people with a bank account who used mobile banking features increased by 63% between 2019 and 2023, impacting branch visits to high-street banks. We, therefore, estimate that mobile banking will maintain its popularity.

Factors and Features That Cause British People to Use Mobile Banking Plus Statistics

High and middle-income earners use mobile banking the most for several reasons. Our research shows that 70% of Brits who earn £76,800 and above used these services to handle their finances in 2023.

27% of British people use these services to transfer or send money to the external accounts of family and friends. Many also use them to transfer funds between their own accounts.

Multiple mobile banking features also prompt British people to use these services. 40% of people who responded to a research survey claimed that easy-to-use online transactions with a current account were an important feature they considered when using mobile banking.

Alerts for suspicious activity on their accounts via the platform on Apple and Android devices is another important feature that traditional bank accounts don't offer; 56% of respondents considered this a crucial feature.

Digital money management tools via a mobile app were another one of the key features British people value in mobile banking services, with 23% of individuals favouring the option to see their recurring charges. This is backed up by the fact that these apps enable you to view all your accounts easily.

More than 600,000 small UK businesses with business accounts use open banking via mobile phone devices for digital banking to complete their transactions, check account balances, or complete internet banking tasks. 

Factors That Cause British People to Avoid Using Mobile Banking Plus Statistics

One of the main factors that cause British people to avoid using mobile banking is that smartphones can be misplaced. 30% of people consider that losing a smartphone is a deterrent against using these services. However, other factors are important as well.

26% suggest that the security of mobile banking is not sufficient to use this service. 21% claim that they do not trust mobile carriers and, therefore, do not want to use these services.

16% of British people would rather speak to a banking professional than use mobile banking. In comparison, 10% consider that no in-person assistance is available when using these services — specifically when they make a mistake or something goes wrong.

Mobile Banking Trends: How These Services Have Changed

Convenience is never lacking with mobile banking apps. With swift login features and high security, these services have become easier to use. Biometric login options reduce unauthorised access.

Advanced tools for tracking money and expenses are ideal for monitoring spending. Budgeting features are now available, and notifications related to withdrawals, unrecognised transactions and deposits are available. Every major UK bank provider offers apps, and they continue to improve. 

How Does the Mobile Banking Experience Impact UK Account Holders?

46% of individuals over 55 state that an online experience is crucial. Specifically, ease of use and accessibility can play a role in the popularity of mobile banking services. Even a mediocre user experience can deter account holders.

Customers who go through a poor experience with these apps are likely to have a negative perception of the bank, which affects the bank-customer relationship. 

How Is Mobile Banking More Convenient Than Traditional Banks?

Mobile banking enables you to manage your account wherever you need to with a secure internet connection.

It is also a service that 29% of UK account holders use exclusively for banking because it's highly cost-effective. For example, you can make transfers without paying fees. 

40% of account holders aged between 18 and 27 complete primary banking tasks via app services instead of traditional banks for several reasons. The appeal of new technologies is unquestionable among younger account holders, and with many high street banks closing, many turn to Neo or challenger bank options and mobile banking. 

How Will Mobile Banking Affect Bank Branch Visits in the UK?

As mentioned, our financial professionals predict that as a result of mobile banking and its increasing popularity, bank branch visits may decline in the future.

Looking ahead to 2024, and to look closely at the statistics, researchers suggest that the percentage of individuals who use UK bank branches will fall to just 55%. By 2024, mobile banking users will most likely increase, particularly among the younger generation.

Mobile Banking Statistics: The Verdict

As mobile banking grows in popularity, so does its convenience. Banks constantly update their app services to match the demand for better experiences. Convenience is pleasing UK account holders, with apps such as the NatWest app and Starling Bank app offering real-time banking notifications and additional perks.

It doesn't matter whether you need to pay bills, keep your money safe, access useful features, or just manage your account; these services can simplify your money management.

Since there are plenty of advantages and only a few disadvantages, it's well worth looking into mobile banking if you have not used this service before. Have a look at the many apps for mobile-device banking to gain the convenience and ease of money management from anywhere on the planet.

Related Guides:

Mobile Banking Statistics: Trends and Predictions: FAQs

How Are Traditional Banks Improving Their Mobile Banking Services?

How Can You Access Mobile Banking Apps Via a Smartphone?

What Are the Benefits of Mobile Banking to Users?

What Is the Difference Between Mobile Banking and Digital Only Banks?

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