Unicorn Leaders – Emma Hagan, UK CEO, ClearBank

Emma Hagan, the newly appointed UK CEO of ClearBank, shared insights about the company’s progress and her vision for the future during an interview. ClearBank, established in 2015 as the first new full-service clearing bank in the UK in 250 years, continues to uphold its core business model, focusing on providing faster, safer, and more reliable banking infrastructure to regulated financial institutions. Emma highlighted that ClearBank was designed to address a significant gap in the market, particularly as new financial institutions and fintechs emerged, requiring a modern platform to support their innovative business models.

The company has seen substantial growth over the past four years, increasing its staff in the UK from 250 to over 750 employees and expanding its client base from 120 to 230 financial institutions. Emma pointed out that this growth underscores the demand for ClearBank’s services, which include direct integration with UK banking payment infrastructure and secure money storage at the Bank of England for GBP deposits. Additionally, ClearBank has added several partners to its embedded banking platform, such as Chip, Raisin, and Wealthify, which have further driven the company’s expansion.

Emma’s new role as CEO of ClearBank UK comes at a pivotal moment as the company embarks on international expansion, having recently secured a European banking license. This expansion reflects ClearBank’s commitment to replicating its successful UK business model in new markets while maintaining its dedication to the UK market. Emma expressed excitement about this new chapter, which includes hiring over 60 new employees in Europe and investing around 70 million euros in the European business.

In terms of funding, Emma revealed that ClearBank’s most recent investment was £175 million from APAC’s Digital, received in March 2022. This investment has primarily been used to enhance the company’s technology and infrastructure and support its international growth. She also noted that ClearBank achieved profitability at the end of 2022 and continued to be profitable throughout 2023, marking a significant milestone for the fintech firm.

Emma discussed the importance of culture within ClearBank, especially as the company grows and expands internationally. She emphasised that culture at ClearBank is not dictated from the top down but is a collective effort shaped by the entire employee base. ClearBank has also placed a strong focus on diversity, equity, and inclusion (DEI), with Emma co-sponsoring DEI initiatives within the company. She believes that maintaining this inclusive and innovative culture is crucial as ClearBank continues to scale and enter new markets.

Regarding internal communications, Emma highlighted that ClearBank’s leadership team, including herself, has always been actively involved in keeping employees engaged and informed. She intends to continue this involvement in her new role as CEO, ensuring that the company remains responsive to feedback and adapts its communication strategies as it grows.

When asked about the relevance of the term “unicorn” for successful tech companies, Emma acknowledged its importance in celebrating success stories within the UK tech and fintech sectors. However, she also expressed concern about the decline in companies choosing the UK as a venue for listing, which she sees as a broader issue affecting the UK’s attractiveness as a hub for fintech businesses. Emma mentioned that ClearBank is actively involved in efforts to address this issue, particularly through the Innovate Finance Unicorn Council, where they aim to make the UK a more attractive place for fintech companies to start, grow, and remain.

Emma also addressed the lack of female leaders in the fintech space, recognising that there isn’t a simple solution to this issue. However, she is committed to championing diversity and inclusion within the industry and ClearBank. She mentioned her involvement in mentoring female colleagues and ClearBank’s participation in initiatives like the Women in Finance Charter and Code First Girls to encourage more diversity in senior leadership and technology roles.

On the topic of innovation, Emma discussed the role of artificial intelligence (AI) within ClearBank. While AI is an important area of focus, she explained that ClearBank approaches it as one of many opportunities for innovation rather than a singular solution. The company is exploring various ways to leverage AI to enhance its services while also investing in other areas of technological advancement, such as digital assets.

Looking ahead, Emma outlined ClearBank’s priorities for the next 12 to 18 months, with a strong emphasis on executing its European expansion strategy. Having recently obtained its European banking license, ClearBank is focused on entering new markets across Europe carefully and sustainably, ensuring that its growth is well-managed and aligned with its long-term vision. Emma is optimistic about the future, confident that ClearBank will continue to build on its success both in the UK and internationally, supporting fintech innovation and providing reliable banking infrastructure to financial institutions across the globe.