Mark Garnier, Shadow Economic Secretary to the Treasury
with Mark Garnier OBE MP, Shadow Economic Secretary to the Treasury
Mark Garnier reflects on the UK’s long-standing history of financial innovation and the importance of maintaining that position in the face of rapid technological change. He highlights developments such as stablecoins and distributed ledger technology, noting their potential to transform financial services, particularly in areas like shareholder democracy and global money movement.
He stresses the importance of distinguishing between different elements of the crypto ecosystem, arguing that assets like Bitcoin should not be confused with currency, while the underlying technology offers significant opportunities for the financial sector.
Mark also underlines the potential for these technologies to improve financial inclusion. With far more people globally having access to mobile devices than bank accounts, stablecoins and tokenised currencies could enable broader participation in financial systems.
On fraud, he argues that responsibility must remain with the perpetrators rather than shifting liability onto banks. He raises concerns about current approaches that place undue burden on financial institutions, despite their efforts to prevent fraudulent transactions.
Turning to regulation, Mark acknowledges that while strong regulation can attract global capital, excessive complexity and cost risk undermining the UK’s competitiveness. He calls for a more balanced approach that provides clarity, supports innovation and gives regulators the confidence to operate without overreaching.
He concludes by emphasising the need for industry input, encouraging businesses to provide practical solutions rather than simply highlighting problems.
Eugenia Planas, Chief Information Officer, Bank of England
chatting to Eugenia Planas, Bank of England
Eugenia Planas discusses the modernisation of the UK’s Real Time Gross Settlement system, focusing on the shift from a rigid legacy platform to a modular and adaptable architecture.
Rather than identifying a single improvement, she explains that the key achievement lies in creating a foundation that can evolve continuously. This new platform enables greater resilience, flexibility and the ability to introduce new capabilities without disrupting core settlement functions.
A notable development is the introduction of a synchronisation capability, allowing settlement between central bank money and assets on external ledgers. This represents a significant step forward in enabling more efficient and concurrent transactions.
Eugenia also outlines the Bank of England’s approach to AI, emphasising its alignment with organisational priorities such as resilience and stability. Initial use cases include operational monitoring and predictive analytics, with a gradual progression towards more automated responses as trust in the technology develops.
She highlights the importance of strong data foundations, governance frameworks and ethical considerations, noting that investment is currently focused on building robust infrastructure rather than surface-level applications.
On the digital pound, Eugenia explains that it forms part of a broader modernisation strategy rather than a standalone initiative. It is designed to complement existing systems and support innovation in retail payments while maintaining trust in central bank money.
Dan Wilson, Head of Customer Journey Payments, Nationwide Building Society
With Dan Wilson, Head of Payments Strategy, Industry and Roadmap, Nationwide
Dan Wilson challenges the idea that payments are being reinvented, instead describing the current phase as one of evolution. He points out that existing payment systems already work effectively for most users, and the focus should be on incremental improvements rather than wholesale change.
He identifies AI as a tool that can enhance the beginning and end of the payment journey, particularly in areas such as fraud detection, failure prediction and customer communication. Importantly, he believes these enhancements can be delivered without fundamentally altering core infrastructure.
Fraud remains a major concern, with Dan emphasising the need for prevention rather than relying solely on reimbursement models. While new technologies offer opportunities to combat fraud, he notes that fraudsters will also adopt these tools, making it an ongoing challenge.
On agentic AI, Dan sees potential in simplifying decision making for users, particularly in routine or low-risk scenarios. However, he stresses that adoption will depend on consumer confidence and trust, especially for higher value or more complex transactions.
He concludes by reaffirming the importance of resilience, noting that payment systems must remain reliable above all else, even as new technologies are introduced.
Saira Khan, Head of Innovation and Partnerships, First Direct
with Saira Khan, Head of Innovation and Partnerships, First Direct Bank
Saira Khan highlights the accelerating pace of change in payments, driven largely by rising customer expectations. She notes that the industry is moving away from long-term forecasts and instead adapting on a year-by-year basis.
She describes a future where seamless, instant and cost-effective payments become the norm, supported by a combination of human expertise and AI-driven capabilities. Personalisation is a key theme, with data enabling more tailored experiences and timely customer engagement.
Saira emphasises the importance of collaboration across the ecosystem, with banks and fintechs learning from each other and working together to address shared challenges such as fraud.
She also points to the continued relevance of partnerships, drawing parallels with other industries where collaboration drives innovation and enhances customer experiences.
Looking ahead, she expects greater focus on integrated customer journeys and interfaces, with banks maintaining their role as trusted institutions while adapting to new ways of delivering services.
Macs Dickinson, Director of Engineering, LHV
with Macs Dickinson, Director of Engineering, LHV
Macs Dickinson provides a practical perspective on stablecoins, explaining that while they are widely discussed within the industry, most consumers remain unfamiliar with them. He argues that users do not need to understand the underlying technology, only how it affects their experience.
He highlights key differences from traditional payment methods, such as the lack of chargeback mechanisms, which require careful user education.
In terms of adoption, Macs suggests that stablecoins are already gaining traction in business-to-business contexts, particularly in cross-border payments and treasury management, where they offer clear efficiency benefits. However, broader consumer adoption will depend on improved infrastructure and compelling use cases.
On AI, he identifies customer support and fraud detection as key areas of application, while noting that advancements in large language models are rapidly expanding potential use cases.
Macs also explores agentic AI, describing it as an emerging but still experimental space. He highlights challenges around reliability, precision and the risk of incorrect assumptions, stressing the need for clear instructions and strong oversight.
He concludes that while agentic systems will enable greater experimentation and efficiency, organisations must develop the ability to distinguish meaningful innovation from noise in an increasingly fast-moving landscape.
Key Takeaways
Across these conversations, several consistent themes emerge:
- The UK must balance innovation with regulation to remain globally competitive
- Infrastructure modernisation is critical to support ongoing technological change
- AI is already delivering value, particularly in fraud detection and operational efficiency
- Customer expectations are rising rapidly, driving demand for seamless experiences
- Trust and resilience remain foundational to all payment systems
These discussions highlight an industry evolving at pace, with technology, policy and customer behaviour shaping the future of payments in equal measure.
