I help FinTech start-ups and banks collaborate each day, and often get asked for examples of the types of collaboration. So I found this article from the FT a nice snapshot of the ways banks are addressing the threat, which I have in turn summarised here...

1) Digital attackers – this group considers the best form of defence is attack which is suitable for banks with advanced digital strategies.

2) Acquisitions – hampered by the vast cost and complexity of maintaining old systems, sometimes banks find it easier to buy/invest in a start-up.

3) Partnerships – banks complain of an uneven playing field that allows technology groups to offer financial services without the burdensome regulation that lenders face. That has not stopped some banks teaming up with Big Tech groups.

4) Diversification – while their core payments and lending businesses may be under pressure from digital competitors, some banks are using new technologies to enter new markets.

5) If you can't beat them, join them – sometimes banks decide that the threat from digital competition is so great that they have to amend their business models.