Research suggests that one-third of the UK population lend to and borrow money from friends and family members each year, while the City regulator has estimated that up to 6m adults borrowed from friends and family each month during the pandemic.Ĭonsumers who register on the Loop app will be able to create a social network which enables them to easily share money with each other. The app has been designed as a social network, and will initially be aimed at students and young professionals. Loop is planning to launch nationally early next year, with its founders confident that there is a significant commercial opportunity in the money-sharing market. Mr Donaldson, meanwhile, oversaw the launch of CompareTheMarket, which went on to become one of Britain's biggest price comparison services. He had previously been responsible for establishing Metro Bank, Britain's first new high street lender for a century, and Atom Bank, one of the first app-only banks. Mr Thomson recently presided over the sale of 86400, a digital bank he set up in Australia, for nearly £120m. The involvement of Mr Thomson and Mr Donaldson creates a team with huge experience in digital finance ventures. Mr Pester, who also ran Virgin Money, is understood to have been working on the development of Loop for roughly 18 months. Since then, Mr Pester has become chair of the campaign group Fairer Finance's advisory board, and has advised private equity groups including KKR and Pollen Street Capital on investments in the financial services sector. The launch of Loop will represent Mr Pester's most publicly visible commercial venture since he left TSB in 2018 after an IT meltdown that he said had left the bank 'on its knees'.Ī subsequent inquiry into the crisis, which left millions of customers with no access to their accounts for weeks, laid the blame at the door of the TSB board and that of its Spanish parent, Banco Sabadell.

Cost of living: Britons are borrowing more and saving less as crisis starts to hurt

Paul pester tsb