Starling, Tangerine Bank join forces to modernise core banking

By Vriti Gothi

Starling Group has partnered with Tangerine Bank, the Canadian digital banking subsidiary of the Bank of Nova Scotia, to modernise its core banking infrastructure using Engine by Starling’s cloud-native Software-as-a-Service (SaaS) platform.

The partnership marks Engine by Starling’s largest deal to date and its first client in North America, underscoring the UK-based FinTech’s strategic expansion across global financial markets. Under the agreement, Tangerine will migrate its digital banking operations to Engine’s advanced cloud platform, designed to deliver enhanced agility, scalability, and resilience for next-generation financial services.

The move follows Engine’s expansion into North America earlier this year, with new offices established in Toronto and New York. The initiative also reflects Starling Group’s ongoing commitment to exporting its proven digital banking technology and operational expertise to international markets.

As part of this expansion, Engine plans to hire more than 100 additional staff, strengthening its global delivery and support capabilities. The company’s technology currently underpins digital banking operations at Salt Bank in Romania and AMP Bank GO in Australia.

Founded in 2014, Starling has evolved from a challenger bank into a global FinTech solutions provider, serving 4.6 million customers in 2025, up from just 43,000 in 2017. The Group’s diversification into software-as-a-service represents a strategic evolution aimed at empowering other financial institutions to accelerate their own digital transformation journeys.

Starling’s rapid growth has not been without challenges. In 2024, the UK’s financial regulator imposed a $37 million fine on Starling Bank for shortcomings in its financial crime controls. The bank has since implemented robust governance enhancements and compliance frameworks to strengthen its operational integrity.

Tangerine, originally founded as ING Direct in 1997, serves over two million clients across Canada. Acquired by Scotiabank in 2012 for $2.26 billion and rebranded the following year, Tangerine is recognised as one of Canada’s leading digital-first financial institutions.

This collaboration positions Tangerine to deliver a more agile, customer-centric, and technologically advanced banking experience, aligning with the institution’s commitment to continuous innovation in the digital banking landscape.