Despite growing enthusiasm for embedded finance services, many brands remain hesitant to move from intention to action due to implementation challenges, according to ClearBank’s new report.
The Embedded Economy: Why Brands Are Embracing Financial Services as a Driver for Innovation and Growth study finds that 75% of senior leaders see implementation as the biggest barrier to adopting embedded finance. Many say they would already be offering such services if integration were more straightforward. Among the most frequently cited obstacles, 61% point to technical integration, while 49% highlight regulatory compliance and 43.5% mention a lack of internal expertise.
The findings reveal a clear gap between ambition and execution. While businesses increasingly recognise embedded finance as a key lever for innovation and revenue growth, the complexity of implementation continues to slow progress. As ClearBank notes, the benefits are widely acknowledged, from enhancing customer experience and loyalty to opening new income streams, but the path to achieving these outcomes is not yet seamless.
According to the report, 82% of senior decision-makers are now familiar with embedded finance, and 78% believe it can unlock new revenue streams. Nearly one in three leaders (28%) forecast double-digit growth within three years of adoption, while a further 39% expect moderate gains of between five and ten percent.
Interest is especially high in the consumer services, retail, and healthcare sectors, where brands are exploring ways to integrate payments, lending, and insurance directly into their customer experiences. Yet the study underscores that enthusiasm must be matched by infrastructure (both technical and regulatory) that can support seamless deployment at scale.
ClearBank’s analysis suggests that overcoming these hurdles could mark a turning point in how businesses engage with customers. As brands seek to deepen loyalty and simplify transactions, embedded finance is shifting from a future concept to a present opportunity, provided implementation barriers can be resolved.
