The Department for Science, Innovation and Technology has published its Smart Data roadmap confirming that pensions and general insurance will be the next sectors to adopt mandatory data-sharing frameworks modelled on Open Banking. Under the plan, workplace pension providers will be required to offer API access to member data by mid-2027, while motor and home insurance providers will follow by early 2028. The move is expected to transform price comparison, switching, and financial planning across sectors that have historically resisted digital disruption.

The pensions industry, in particular, stands to benefit from greater data portability. An estimated 3.3 million UK pension pots are currently classified as lost or dormant, representing billions of pounds in savings that consumers cannot easily locate or consolidate. "Smart Data for pensions is a game-changer," said Chris Mayfield, chief product officer at PensionBee. "For the first time, consumers will be able to see their entire retirement picture in one place, powered by the same API infrastructure that Open Banking pioneered."

Insurers have offered a more cautious response, with the Association of British Insurers warning that implementation costs could be significant for smaller providers. However, fintech startups including Bink, Snoop, and Cleo have already begun building products in anticipation of the new data flows, positioning themselves as intermediaries between legacy providers and digitally native consumers. Analysts at Barclays estimate that the Smart Data extension could generate £4.7 billion in annual consumer savings through improved switching and personalised product recommendations.