Flagstone Surpasses £10bn in Inflows Amid High Interest Rate Environment

In a high interest rate environment, consumers are looking for ways to maximise the interest earning potential of their savings. To this end, fintech savings platform Flagstone has recorded a significant milestone, reaching over £10bn of inflows. The platform’s assets under administration have been increasing by more than £1bn per quarter.

Flagstone’s Growth and Consumer Reach

Launched in 2015, Flagstone offers savers access to a variety of savings accounts from 59 UK banks. The company’s customer base now exceeds 600,000 in the UK. Initially a platform for individual savers, Flagstone has experienced tremendous growth through its partnerships with many of the UK’s leading wealth management firms, including St James’s Place, as well as other companies such as Saga and Revolut.

The Role of Fintech in Savings Management

Simon Merchant, co-founder and CEO of Flagstone, noted that the high inflation environment is prompting consumers to seek better deals on cash interest rates. He explained that researching, comparing, and then switching between savings accounts across multiple providers can be time-consuming and costly. This often reduces the perceived benefit of earning better interest, leading to complacency among consumers.

Merchant highlighted the potential of fintech to offer the flexibility, visibility, and ease consumers are accustomed to in other aspects of their daily lives. By applying these principles, fintech can help consumers make their rainy day funds, mortgage deposits, and children’s university nest-eggs work a lot harder.