86% of consumers are satisfied with the main financial providers, new research shows.
The Consumer Sentiment Banking survey was carried out by Ipsos Behaviour and Attitudes on behalf of the Department of Finance.
More than 1,500 people were interviewed face-to-face about the retail banking sector in Ireland, as part of the research.
37% said they are very satisfied, up slightly on last year.
Meanwhile the overall satisfaction of 86% is up from 82% in 2023.
4% expressed dissatisfaction with the sector, similar to last year.
The research shows that more consumers are using multiple financial providers, with 66% having more than one provider, up from 57% last year.
36% said they use credit unions at least occasionally, up from 30% in 2023.
The survey also notes the continued increase in the use of 'fintech' by consumers.
The survey results also report on the continued increase in the use of 'fintech’ by consumers of financial services in Ireland. This includes a growing use of apps on smartphones and contactless payments by customers of traditional banks.
The survey shows that the use of apps outside the traditional sector has increased in the past year, with 39% now using such providers, driven almost exclusively by Revolut.
3% of respondents now hold their main current account with Revolut, down from 4% in 2023 but up from just 1% in 2022.
81% agree that the services provided by 'digital only' banks are a good substitute for traditional banks.
The main appeal of fintech providers versus the more traditional retail banks is that they offer instant money transfers, free banking, a user-friendly app and ability to split bills.
Most people said they have their main current account with either AIB, Bank of Ireland or PTSB.
42% had their main account with AIB, followed by Bank of Ireland at 33% and PTSB at 14%.
In terms of switching, there remains a low level of switching intent, however there is an increasing belief of more competitiveness or choice in the market. This is highest for savings accounts and credit cards and lowest for mortgages.
"The world of banking and financial services continues to change rapidly and the results of this survey bear that out," said Minister for Finance Jack Chambers.
"A growing number of people are availing of digital financial services and it is clear that this trend is set to continue.
"We must therefore ensure that we are prepared for this change and that ultimately customers continue to be protected, given the robust consumer protection framework that is currently in place in Ireland," he added.
Mr Chambers said the survey results will help to inform these developments from the consumer's perspective as the banking and financial services landscape continues to evolve.
