Charles McManus, co-founder and board director of ClearBank, delivered a keynote titled “Delivering the Impossible – A Case Study,” detailing the inception and journey of ClearBank while discussing opportunities in modern open banking infrastructure.
McManus explained that a clearing bank functions as a financial institution responsible for processing and settling payments and transactions for regulated banks, building societies, credit unions, authorized payment institutions, e-money license holders, and others. ClearBank’s API provides corporations with a fully regulated banking infrastructure and real-time access.
Historically, the UK had 16 clearing banks, but by 2016, only four significant clearing banks remained. At that point, Nick Ogden, founder of WorldPay and a tech entrepreneur, proposed creating a new tech-led clearing bank. McManus embraced the challenge, leveraging cloud-native technology to connect banks with payment schemes during a time when cloud technology was still emerging. He noted that there was “no playbook” to follow, emphasizing the need for dedication and resilience to drive the project forward.
In pursuit of a banking license and to join payment schemes, McManus approached the government and Bank of England for institutional support to disrupt the existing clearing bank landscape. After overcoming various challenges, ClearBank obtained its banking license and now serves 260 financial institutions, focusing on enhancing banking and payment services while enabling users to invest in their pensions.
McManus emphasized that ClearBank aims not merely to improve banking services but to provide a sustainable experience for clients, allowing them to make pension investments. He also highlighted a pivotal moment in their development when he convened representatives from 26 regulatory bodies in London, realizing that collaboration could lead to shared success.
“Building a strong relationship with regulators is essential for advancing data sharing, fostering innovation, and combating fraud,” McManus stated. He concluded the presentation by underscoring the importance of resilience and determination in the fintech industry.