The UK Financial Conduct Authority (FCA) has recently accepted a new group of firms to its Regulatory Sandbox.

The Regulatory Sandbox allows firms to test innovative propositions in the market with real consumers. It is open for applications at any point throughout the year.

The recent additions include 13 firms. Propositions operate in the retail lending, retail investments and retail banking and payments sector.

The main type of innovation continues to be dominated by data and technology infrastructure, with firms using AI/machine learning, DLT/blockchain technology, open banking, API, digital ID as well as predictive analytics.

• Amplified Global Limited

Amplified Global uses AI-based technology to assess intelligibility, and help companies communicate more simply with their customers, so their customers can understand and act on what they have read. Amplified will test how simplified terms and regulated notices from lenders can improve comprehension, and lead to improved consumer outcomes.

• Etive Technologies

Etive Technologies has created MyIdentity.org.uk which is a Digital Identity Trust Scheme, (aligned to the Department for Digital, Culture, Media & Sport Digital Identity Trust Framework), specifically developed for the Home Buying and Selling Process. It allows individuals to prove their identity once to support AML requirements, creating a digital identity that enables the consumer to reuse this with each of the up to 5 regulated entities they may use in the buying or selling of a property.

• Fair4All Finance

Fair4All Finance is working with organisations to pilot the No interest Loan Scheme (NILS) to customers in vulnerable circumstances. It provides an option to customers who have a need but are unable to access or afford existing forms of credit, and who can afford to repay the capital of the loan.

• Fluenccy Limited

Fluenccy provides FX intelligence as an embedded finance solution, enabling SME customers to see, understand and manage their FX risks and opportunities more efficiently.

• Granular

Granular is building a market for hourly certificates of renewable electricity, which comply with the guidelines of EnergyTag, a global, non-profit and industry-led initiative. It provides tools and market solutions to facilitate 24/7 clean energy sourcing, helping firms progress towards net-zero and improve the transparency of emissions reporting.

• Green Growth Investments

A mobile-app that allows consumers to make green investments in the form of exchange-traded funds (ETFs). Consumers can set their risk appetite and select their preferred green initiatives which relate to the funds they invest in.

• Greenomy

A software as a service (SaaS) solution that helps corporates, credit institutions and asset managers measure, disclose and improve their sustainability levels according to the new EU Sustainable Finance standards (EU Taxonomy, SFDR and NFRD/CSRD) and upcoming Green Taxonomies.

• Intellibonds Limited

An AI-augmented software as a service (SaaS) platform for fixed income institutional investors. The software generates trade ideas, constructs and rebalances bond portfolios, and predicts the credit risk of existing bond portfolios.

• Karfu

Karfu is a free online platform that helps consumers save money and uncover the financial and environmental costs of their mobility choices, beyond private car ownership, by showcasing more sustainable and local alternatives. The platform includes vehicles from cars to bicycles, across access options from ownership to usership, and explains how its results are calculated. The algorithm is led by user preferences, including environmental and sustainability interests.

• Little Steps Financing Limited

Little Steps Financing provides a 0% interest financing product that allows parents to spread the payment of monthly nursery fees in small instalments over a maximum period of 4 years. Little Steps Financing aspires to make early years childcare more accessible and affordable for more parents in the UK.

• SuperFi Finance Limited

SuperFi is addressing increasing consumer debt in the UK by utilising Open Banking to help borrowers locate and understand their different sources of debt – enabling them to optimise their repayments to achieve debt freedom faster.

• The Investing and Saving Alliance

TISA’s federated Digital ID project – Enabling easy access to all digital services by creating a single, reusable, secure Digital ID that meets all relevant regulatory requirements (KYC and AML) and is positioned to consumers, as the prime means for securely identifying themselves to UK Financial Services.

• Xpand

Xpand is developing software to support the sustainable impact management of public sector investment and to provide businesses with access to innovative forms of funding and investment.