NatWest Boxed: Embedded Finance Boosts Businesses
Banking-as-a-Service platform NatWest Boxed has announced the results of a survey aimed at major brands that use embedded finance.
The report was conducted on C-level executives from major UK consumer brands that operate using embedded finance at the brand.
Questions included asked about what part of embedded finance impacts their brand, the current capacity of the embedded finance, and expectations of the embedded finance provider.
Respondents ranked customer excellence as the most important factor for embedded finance, favouring it over technical and operational excellence.
Following the adoption of embedded finance, 80% of businesses surveyed report improved business outcomes.
Embedded finance products offered by the majority (62%) of respondents include point-of-sale credit, closely followed by savings accounts, insurance, and merchant wallets.
Andrew Ellis, CEO at NatWest Boxed, says: “Embedded finance has seen great success and still holds huge promise for growth. Consumer brands are seeing tangible benefits from its implementation – but with success comes bigger expectations, and our research indicates that providers need to step up to meet them.”
Embedded finance benefit customers and businesses
The most popular business benefit was increased customer conversion rates. Other benefits include loyalty, positive customer feedback and repeat purchases.
A rise in customer support queries was seen by 90% of brands, however only 38% of brands had their customer support matched by their embedded finance provider.
Just 46% of brands surveyed were confident that their provider could handle increased customer intake without delays.
“Brands are looking to work with trusted embedded finance providers that can address customer, operational and regulatory challenges as they seek to scale and optimise their offerings.” says Andrew.
Regulation queries
The report suggests that brands looking to invest in embedded finance solutions are looking for reassurance in light of the UK’s upcoming Buy-Now-Pay-Later (BNPL) regulations, taking place in 2026.
75% of respondents recorded concerns about support for regulations and compliance from their embedded finance suppliers.
Overall, attitudes towards risk and compliance is positive, with 99% of brands reporting satisfaction with their provider’s current approach to risk.
Almost all brands in the report (84%) had confidence that their provider met new UK Consumer Duty Regulations.
What to look for in an embedded finance provider
The NatWest Boxed report reveals that 31% of brands rejected a potential finance provider due to a perceived lack of regulatory support.
The same number of brands also rejected providers thanks to a perceived lack of brand recognition.
Key qualities that brands look for in embedded finance providers are easy integration and uncomplicated customer support.
The survey exclusively targeted major UK brands with a workforce exceeding 250 employees.
The research encompassed a range of embedded finance providers, including fintech firms with e-money licences, the Banking-as-a-Service (BaaS) divisions of traditional banks, BaaS-focused neobanks, and branded Buy Now, Pay Later (BNPL) providers.
The data was gathered through online interviews conducted during January and February 2025.
In a recent interview with FinTech Magazine, Andrew revealed the company’s strategic thinking around embedded finance.
NatWest Boxed delivers a cloud-native Banking-as-a-Service platform that allows brands and fintechs to integrate financial services into their customer offerings securely and at scale.
