The Impact of Open Banking on Economic and Financial Crime

This paper attempts to answer the research question: How does Open Banking impact economic and financial crime? To answer this, panel data on crimes committed in the United Kingdom that span a ten-year period was collected. Using the definition of economic and financial crime most common in the existing literature, data were filtered to include only relevant crimes. Using the synthetic control method to analyze Open Banking as a policy effect, this paper finds evidence that Open Banking leads to increased levels of fraud and blackmail.