How Algbra and ClearBank delivered sustainable savings service Shoal in under 4 months
Benefits
- Agency banking delivers GBP segregated accounts, complemented by connectivity to the UK Faster Payment System (FPS).
- Cost-effective access to FPS offering all the advantages of the UK’s real-time payments infrastructure to Shoal and its customers, without incurring the operational overheads of being a direct scheme member.
- Measurable impact with customers already contributing to the generation of over 2.1 million litres of clean water and the avoidance of 475,000kg of CO₂.
- Highly collaborative project delivers rapid time-to-market – from concept to live app in under 4 months.
Fintech firm Algbra has developed Shoal, built by its fintech-as-a-service business Algbra Labs. Shoal is an innovative sustainable savings platform that combines fintech innovation with robust banking infrastructure. It aims to democratise access to sustainable finance, deliver measurable social and environmental impact, and set new standards for transparency and compliance in the sector.
To deliver on this vision, Algbra required a banking partner with a strong track record of supporting scaling fintechs and a robust, scalable platform to grow with its ambitions for Shoal.
Building a new savings product focused on sustainability
Sustainable finance products have traditionally been complex, high-risk, or offered lower returns, making them inaccessible to many savers. There was a clear market need for a product that combined security, competitive returns, and real-world impact, especially as individuals and organisations sought ways to contribute to climate action without sacrificing financial goals.
“We believe Shoal is truly game-changing, empowering every person, small business and charity in the UK to unlock the power of their savings to be a force for good, and to earn a competitive return at the same time. Savings is a concept as old as banking itself, but until now competition between banks has largely been defined by rates of return. By introducing insight into and control over what money supports while it is on deposit, we believe we can disrupt this model and unlock millions of pounds in private capital to help support the fight against climate change. We have worked with customers to understand their needs and concerns, providing a secure app combining a great user experience, competitive rates of return and measurable, audited real-world impact.”
Algbra approached the selection process with a clear set of requirements for its bank partner, including:
- Reliability and scalability of service to deliver high transaction volumes without disruption.
- Compliance and security, including alignment with regulatory requirements, data security protocols, and safeguarding mechanisms.
- Ease of integration and the ability to integrate seamlessly.
- Track record and industry reputation, with evidence of proven success with similar clients.
- Cultural alignment and a strong belief in the benefit of sustainable finance.
Algbra and ClearBank are values-aligned organisations committed to creating world-leading banking and payment products with a shared focus on sustainability. Recognising the need for accessible, impactful financial solutions, they collaborated to address gaps in the sustainable finance market.
“We selected ClearBank because of its strong market reputation for reliability, API-led philosophy and its commitment to the highest standards for regulatory compliance. Its services are designed to be scalable and flexible, which aligns with our growth ambitions for Algbra and Shoal. Working with ClearBank as a partner, we were able to foster an open, collaborative and well-informed discussion between our respective legal and compliance teams to ensure the highest standards of security, privacy and risk management. Our shared enthusiasm for sustainability also helped us identify and mitigate other important reputational considerations, such as ensuring full transparency on our impact metrics and avoiding the risk of greenwashing.”
Launching a new savings platform in under four months
Shoal is an FSCS-protected savings platform that empowers customers, ranging from individuals and SMEs to charities, to earn competitive returns while supporting measurable environmental and social outcomes. The product is free to use, offers a great user experience, and provides transparent reporting on impact metrics such as clean water generated and CO₂ avoided.
ClearBank agency banking services provide Shoal with Segregated accounts and connectivity to the Faster Payment System (FPS) to deliver real-time payments, while Standard Chartered manages investments on behalf of customers. Shoal can provide its customers with an account and the ability to send and receive funds via Faster Payments. With FPS, customers’ funds are credited to their accounts in real-time and as ClearBank’s platform is available 24/7, customers can move money whenever they want.
By partnering with ClearBank, Algbra can deliver all the benefits of FPS to Shoal customers without incurring the cost and complexity of becoming a direct participant. It also avoids ongoing capital investment to maintain those connections, eliminating the need for continuous testing and preparation for scheme updates, and delivering the uptime its customers expect.
The collaboration and alignment of all partners were instrumental in delivering a live product in just a few months.
“Launching any new brand is built on trust, but that is especially true for financial products, and so for Shoal to work and win business, everything needed to flow perfectly the first time and every time. That meant proven capabilities, robust infrastructure and seamless real-time payments. With ClearBank’s support, Algbra took the Shoal concept from whiteboard to App Store in under 4 months without a hitch.”
Shoal has been well received, achieving 5-star ratings on Trustpilot, the App Store, and Google Play. Early adopters have saved millions through the platform, and the offering is expanding to new customer segments and products.
“We’ve expanded the Shoal offering from private individuals to include SMEs and charity clients here in the UK. We would also like to diversify the range of green and sustainable financial services products we offer, and we’re exploring ethical ISA and ethical Easy Access Savings products that could be powered by our partnership with ClearBank.”
Looking ahead, Algbra and ClearBank aim to expand Shoal’s impact, diversify product offerings, and enter new markets in Europe. The long-term vision is to embed the idea that savers can influence how banks use their deposits, maximising both financial and social returns.
