éist Public Trust in Banking Survey

Éist 2023 Key Findings:

Top Drivers of Trust

• The top driver of trust this year centred on purpose and an acknowledgement that banks care about the impact of their activities on society and the environment, through initiatives focussed on financial awareness and literacy and support for customers in a vulnerable position.
• 51% see evidence of banks as being a positive force in their community and 52% see evidence that banks support good causes across society. This supports the assertion that the purpose driven work of the banks and the IBCB, amongst others, is influencing people’s perception of the sector and provides an opportunity to continue to earn increased trust in the sector.
• The research also shows that banks are expected to make a positive contribution to the economy and, specifically, to be a positive force in the daily financial lives of their customers. The public feel the banks could do more to support them in dealing with the impact of issues like inflation and the cost of living, with 64% saying they do not do enough.

Relationship with Banks

• The éist survey measures overall levels of trust in the wider banking sector, and separately in the named IBCB member banks, as well as assessing levels of trust people have in their local branch. In the last three years of the survey, the research demonstrates that people make a distinction between their relationship with their local bank branch and their perception of the wider sector. éist 2023 finds that trust in the local bank branch continues to increase, with trust levels in the sector going from a -2 score in 2022 to +9 this year amongst the general population.
• People’s engagement with banks digital services remains high, with 81% of respondents saying they use digital banking services either ‘Frequently’ or ‘Very Frequently’. The trust relationship people have with local branches will be one the banks will want to replicate and protect in a digital context where engagement levels are already high.
• Ability, which is a key driver of trust, is also positive as 66% of respondents said they trust banks to handle their money safely and competently. This is significant and demonstrates the recovery of confidence in the competence of banks to act as responsible curators of people’s finances and to protect them against the increasing levels of fraud and financial crime.

Switching Banks

• The switching issue dominated the financial and mainstream news agenda in the past year and was characterised initially by fear and uncertainty. That news agenda gradually abated as organisations like the Banking and Payments Federation Ireland, the banks, the Central Bank of Ireland, and the IBCB communicated the switching process and the importance for customers to act. The survey findings on the issue found that, ultimately, only 16% of those surveyed said their trust levels were undermined by the switching process, while 37% of those who were required toswitch banks said they felt supported by their new bank.
• 39% said they found the switching process easier than expected. Consistent and clear communications from the banks and the support they showed to their customers meant that the switching process was ultimately managed successfully. In this context, the commitment of all five retail banks to adhering to the IBCB’s General Principles for Change throughout the switching process is commended.

(Link to the report and press release)