66% of consumers have reached out to their financial provider's customer service team within the last two years. The rise of 24/7 online support has eliminated traditional communication barriers, making…
UK
Financial Services
simple
UK Customer Service in Financial Services Report 2025
"Technology is changing customer service for the better, but as branches close and cost-of-living challenges persist, empathetic, human-led support remains essential to maintaining trust."
66% of consumers have reached out to their financial provider’s customer service team within the last two years. The rise of 24/7 online support has eliminated traditional communication barriers, making assistance more accessible and increasing engagement. As technology drives expectations for quick and effective solutions, consumers are becoming less tolerant with delays and complications.
To address the rising volume of enquiries, financial institutions are turning to AI-powered strategies to boost efficiency. However, this rapid digitalisation carries risks. As bank branches close and AI becomes more prevalent, maintaining consumer trust is becoming more difficult. 42% of consumers are unwilling to share personal data with AI tools, even when direct benefits are offered. To move forward effectively, firms must prioritise transparency and consent. Failing to do so risks alienating hesitant customers and deepening the trust gap in the industry.
This report looks at the following areas:
The impact of economic pressures and industry regulation on customer service
The evolution of customer service usage and contact drivers over the past three years
Satisfaction levels and the impact of negative experiences across financial services
How contact preferences vary by issue type, and the need for omnichannel support
The use of in-person banking services, and the motivation behind visits
The developing role of AI in customer service and overcoming consumer resistance
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EXECUTIVE SUMMARY
What you need to know
Outlook for customer service in financial services
Opportunities
Turn AI innovation into consumer advantage
Ease the digital transition with hybrid enablement centres
Deliver omnichannel support to meet consumer demands
THE MARKET
Economic uncertainty strains household finances
Graph 1: CPI and average wage rises, 2021-25
Rising cost of living knocks consumer confidence
Financial Ombudsman sees a surge of complaints
Graph 2: complaints submitted to Financial Ombudsman Service, 2019/20-2025/26
The decline of high street banking raises concerns for vulnerable consumers
Regulatory and Legislative Changes
THE CONSUMER
Usage and motivations
Consumers are increasingly dependent on customer service
Graph 3: reasons for contacting the customer service of a financial services company in the last two years, 2022 and 2025
Automated services drive customer engagement
Tailor services to better support younger demographics…
…or risk a rise in complaints and account closures
Satisfaction levels
Service satisfaction has improved across financial services
Digital providers set the benchmark for customer experience
Graph 4: customer service satisfaction, by type of financial services provider, 2025
Industry-specific tactics are key to effective customer support
Negative experiences may be rare, but their impact is significant
Maintain customer service quality, even when retention isn’t threatened
Contact preferences
Adapt to existing contact preferences to deliver efficient support
Triage support requests to streamline query handling
Deliver omnichannel support to meet expectations and drive satisfaction
In-person service
Highlight accessible alternatives for consumers’ most common needs
Preserve access to cash through shared banking hubs to support customers
High-street branches continue to serve a significant customer base
Support financially inexperienced customers with video calls
Evolving demands
Consumers demand more as financial services go digital
Round-the-clock contact is key to retain Gen Z and Millennial support
Give consumers control over their data to avoid alienating them
Build confidence in account security and data sharing for older consumers
Employ AI capabilities to support the entire customer journey
INNOVATION AND MARKETING
AI advancements are transforming customer service standards
Banking hubs are expanding, but shortcomings create opportunities for challengers
Nationwide and HSBC commit to preserving high-street banking
Winning younger audiences through service-centric campaigns
Changing the narrative around ‘predatory’ insurance through customer service
APPENDIX
Report scope
The consumer
Consumer research questions
Consumer research methodology
Repertoire analysis methodology
Abbreviations
Generations
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