Envestnet Yodlee | helping consumers live better financial lives

As a global leader in data aggregation and data analytics, Envestnet® | Yodlee® delivers solutions that help consumers live better financial lives. Their innovative products and services are trusted by more than 1,400 financial institutions and fintech companies, including 17 of the top 20 US Banks.

We spoke to Envestnet | Yodlee’s Lisa Novier, Head of Data Governance, and Kat Cloud, Compliance Principal Director for Open Banking, about the US firm’s experience expanding into the UK and their growth prospects for their London office.

Can you give us some background into Yodlee’s operations and products?
Envestnet | Yodlee leverages data from open banking and beyond to create B2B products that improve financial wellness for consumers. Envestnet | Yodlee currently has 19 million open banking connections worldwide, with a market presence in the UK, Australia, New Zealand, India, Canada, and South Africa. 

How was your journey expanding into the UK?
We expanded into the UK in 2009, prior to the introduction of open banking. For us, the UK presented a promising market opportunity and a gateway into Europe. Despite Brexit, the UK remains our European HQ, out of which we manage our EMEA business. 

Other factors such as the ease of doing business in English, a similar business culture, and a forward-thinking government that supports its fintech industry enhance the UK’s draw.

In your view, what are the main advantages of being located in the UK?
The UK is a central hub for financial services. All the major financial institutions like HSBC and Barclays have a presence here. This, combined with the huge amount of investment the UK attracts is confirmation that this is the place to be in Europe. For an American firm with a global footprint, it’s particularly important to be located somewhere with excellent flight connections, which London’s airports provide.

How has your relationship been with UK government and regulators?
UK regulators are among the most communicative that we’ve worked with globally. The government also does a great job at ensuring the policy consultation process is transparent. That’s important because knowing when important information will be released and when regulations will come into force allows for smoother business planning. Once regulations come into force, regulators seem invested in helping firms interpret them.

The UK government and regulators want to work with fintech firms to improve their operating environment. 

What is your outlook for the UK market?
The expansion of open banking into open finance will create new opportunities for our business. It means we’ll be able to offer a wider variety of products in the UK that until now were only available in the US The UK has been much faster than other markets, including the EU, in developing regulation around open finance, and this keeps Yodlee excited about UK growth prospects. 

We also expect to grow the footprint of our UK office. As Yodlee expands into new African markets, these businesses will be managed out of our UK office, which means increasing the company’s headcount here. 

Are there any developments that could strengthen US-UK financial services trade? 
Cross-border data sharing is a key pain point for Yodlee. The Atlantic Declaration signed by the UK and US in June 2023 is a promising step towards improving transatlantic data sharing and innovation. Data is central to the operation of a fintech firm. Further movement in this area will help keep the UK competitive as it would reduce friction between US headquartered firms like Yodlee and their UK operations.

The Atlantic Declaration signed by the UK and US in June 2023 is a promising step towards improving transatlantic data sharing and innovation.