The research – a survey of 164 people in the sector combined with interviews of high profile financial sector professionals – reveals that 60% believe regulation will not be enough to restore confidence and pride in the UK banking industry, demonstrating the need for financial institutions to take a proactive approach to turning around negative sentiment.

Only 34% feel increased transparency will help restore trust, compared to 28% who feel transparency would encourage even greater scrutiny of the sector, which will further undermine confidence and pride in the sector.

Despite a lack of certainty around the value of transparency, 58% feel corporate communications is key to improving the reputation of the sector. Only 3% believe financial services companies have done a good job in communicating their dual responsibilities to shareholders and customers to date. The research also revealed that the majority of respondents (65%) feel the media plays an active role in fuelling and encouraging negative sentiment towards the sector.

“The findings demonstrate that those charged with managing the reputations of beleaguered banks face a tough task,” said Richard Janes, co-director of the Banking & Finance practice at Hotwire. “However, the sector itself endorses the role of corporate communications in turning around public sentiment. This industry buy-in is the first step towards enhancing the communications efforts of the sector, ultimately focused on restoring confidence and pride.”

The ‘In Banks We Trust?’ study will be launched at a panel event for marketing and communication professionals on Wednesday 10 November.