The FCA has identified SME lending as a priority use case in the development of open finance. Its review found that microbusinesses in particular can face complex applications, repeated checks, limited awareness of finance options and difficulty accessing suitable products—issues relevant to self-employed mortgage clients and business owners seeking property or specialist finance.
For advisers, consent-based data sharing and digital verification could eventually reduce duplication and provide a fuller, more current view of income and cash flow. AI could help interpret this information and surface suitable lending pathways, but its use must remain explainable and proportionate. The FCA’s direction is clear: innovation should reduce friction while preserving effective financial-crime controls and delivering better customer outcomes.