The City and Society: Financial Inclusion, Regulation and Digital Change

Episode three of WPI Economics’ Thinking Policy explores the relationship between the City and society through financial inclusion, regulation and rapid digital change. John Godfrey (TheCityUK) argues financial services underpin jobs and everyday life, and calls for better education, accessible guidance, tackling digital exclusion, and forward-looking policy on digital currencies, crypto and digital ID; he also discusses permitting product bundling to widen insurance cover, using “sharpened carrots” such as auto-enrolment and Flood Re, and how to unlock the benefits of new growth and competitiveness objectives for regulators. Rebecca Deegan (Fair By Design) stresses the impact of the poverty premium, says low income drives exclusion, and wants markets reshaped through rules and intervention (notably in motor insurance), alongside inclusion-focused regulation, greater workforce diversity, and transparent, equitable AI. WPI Economics’ Matt Oakley and Joe Ahern reflect on market–state partnership examples, including access to cash and CDFI support, and link financial inclusion with economic growth. 00:00 Welcome and Topic Setup 01:05 Why the City Matters 01:55 Expanding Financial Inclusion 03:08 Future Proofing Inclusion 05:56 Bundling and Protection 06:58 Carrots, Sticks and Examples 10:11 Avoiding Unintended Effects 13:52 Competitiveness Objective 16:02 AI and Digital Change 18:34 Rebecca on Poverty Premium 20:24 Designing for Inclusion 23:57 Strategy Gaps and Motor Cover 26:44 Sticks and System Reform 28:51 Credit Caps and Tradeoffs 30:56 Regulation Competition Outcomes 33:04 Workforce Diversity Matters 37:10 Rebecca on AI Risks 39:43 WPI Reflections with Matt 42:06 State Market Partnerships 45:02 Growth Case for Inclusion 46:38 Wrap Up and Next Steps