The SaaS Cloud Banking platform Mambu has been selected to power the latest digital offering of the new British bank GBB.
Founded to get Britain building, with a particular focus on property and development finance, GBB will act as a lender to SME property developers in the most underserved regions of the UK.
Currently, only around 245,000 of the government’s annual 300,000 house building target is being met. Mambu’s cloud-native platform will make it easier for GBB to respond to market changes while delivering banking products and excellent customer experiences, driving long-term growth and profitability.
Mambu has been working with GBB for 3 years, responding to a brief to innovate and iterate as it grows.
GBB is seeking to support the recovery of Britain’s construction sector by providing property development loans of value between £1 million and £5 million to regional property developers, SMEs, and construction companies across the North East, Yorkshire, and North West.
GBB expects to receive its banking license later this year in order to be able to offer bespoke development financing; an area of commercial lending that currently remains particularly underserved by incumbent banks.
Its proprietary tech platform enables full end-to-end delivery of property development lending and includes a dynamic risk rating tool.
GBB opted to compose its own architecture with Mambu’s SaaS banking platform, as opposed to a more traditional ‘bank-in-a-box’ approach. This ensures the flexibility to swap out components as required, avoiding vendor lock-in and wholesale re-platforming.
Mambu enables GBB to develop and launch bespoke lending products using an easy-to-configure platform, which benefits from continuous upgrades.
Stephen Lancaster, Chief Information Officer of GBB commented, “One in three property developers in the UK is denied financing. Many avoid applying for loans altogether, fearing rejection. Traditionally, SMEs have been the most underserved group as existing banks and lenders tend to prioritise higher loan values. Our mission is to turn things around, and we can only do that by leveraging today’s best-in-class cloud technology.
“We partnered with Mambu because, like us, they are customer-obsessed and understand technology’s role in providing customers with a better experience. The team understands our market really well and has supported us in our journey to becoming a bank every step of the way.”
This comes after similar UK challenger banks, including Tandem, also adopt Mambu’s SaaS Banking platform.
“Unlike most challenger banks, GBB recognises the potential of Northern England. This part of the UK has been underserved for decades, and GBB’s model is vital to its development,” added Elliott Limb, Chief Customer Officer at Mambu. “We have a strong partnership with GBB and are looking forward to supporting them in bringing financial access to the property developers and SMEs in the regions.”
GBB aims to lend £3 billion over five years, building a £1 billion-plus balance sheet. It will fund almost 20,000 homes and several million square feet of office space, supporting the creation of over 100,000 jobs. For savers, competitive fixed rates will be protected by the Financial Services Compensation Scheme (FSCS).