Mark Scrivens, UK Chief Executive Officer, FPT Corporation, explores how AI and modern technology architectures are redefining financial services, from legacy integration to personalised digital experiences.
Over the past decade, automation and data-driven insights have transformed the core functions of banks and financial services organisations, including customer onboarding, risk assessment, lending processes, fraud detection and the delivery of hyper-personalised services.
Beyond enhancing the digital customer experience, AI is having a significant impact across critical banking and financial operations. For example, AI can enable financial services providers to reduce loan and credit application processing times from around six days to less than 24 hours, while lowering costs and improving operational efficiency.
A recent McKinsey survey revealed that 46% of digital banking leaders now use Generative AI regularly, while 37% expect to increase their Generative AI investment by more than 20% over the next year. The initial hype around AI has taken hold; the focus has now shifted to how financial services organisations can design and deliver digital solutions that keep customers engaged and loyal.
The biggest challenges facing banks and FinTechs
The objectives of different financial services organisations are increasingly converging. Today, success requires achieving the right balance between stability, reliability and innovation, alongside scalability and enhanced functionality.
A primary challenge is integrating legacy systems with modern software, a task that varies in complexity depending on the organisation’s existing infrastructure. Meeting customer expectations for highly personalised digital experiences requires applications that are customer-first and designed to serve users wherever they are.
As customers become more technologically savvy, their expectations of financial products and services continue to rise. At the same time, new business models such as digital banks and neobanks are reducing reliance on traditional branch-based operations, replacing manual processes with virtual assistants and AI-powered copilots. To remain competitive, organisations must take a strategic approach to improving customer experience through the right mix of technologies.
Differing needs across banks and FinTechs
Modernisation priorities vary significantly across retail banking, corporate banking, digital banks and FinTechs.
Retail banks require specialised technology to deliver secure, modern and customer-centric digital services. Key priorities include mobile and online banking platforms, loan origination systems, personal budgeting tools and digital onboarding with electronic Know Your Customer (eKYC) and biometric verification. API integration with core banking and third-party systems is essential, alongside AI-driven analytics to support personalised engagement.
Corporate banks must focus on delivering secure, future-ready services to institutional clients. Typical initiatives include corporate banking platforms, cash and liquidity management, trade and supply chain finance systems, and corporate lending workflows. Customisable dashboards, role-based access controls and approval hierarchies are critical to meeting regulatory requirements.
Digital banks aim to build and scale fully digital, cloud-native experiences. This includes end-to-end digital banking platforms, omnichannel onboarding with eKYC and e-signatures, API-first core integrations and Open Banking readiness. AI-driven personalisation, lifestyle engagement tools and secure cloud infrastructure are also key.
FinTechs prioritise speed to market while maintaining compliance and performance. Common focus areas include digital lending and buy-now-pay-later platforms, digital wallets, embedded finance solutions, API development, cloud-native microservices and regulatory support. With the right technology partner, startups and scale-ups can innovate faster and more effectively.
Key technology considerations for financial services
When integrating legacy systems with modern platforms, transformation leaders should consider:
- API-led integration to connect legacy systems with modern interfaces in real time
- Composable architecture to enable modular innovation without full system redesigns
- Full customisation to support unique business and customer requirements
- Strong technology and AI expertise, including cloud, automation and analytics
- Scalable, cost-efficient delivery models with flexible pricing and global support
- Compliance with industry standards, including ISO 27001 and CMMI Level 5
A continuous transformation mindset
In today’s financial services environment, long budget cycles and one-off transformation projects are no longer sufficient. Banks and FinTechs must continually modernise their solutions through iterative improvement and the intelligent use of technology.
By combining the right platforms, expertise and delivery models, organisations can bring their digital strategies to life — enabling faster innovation, quicker time to market and exceptional digital experiences for customers.
