Banks retain top spot in digital trust, but struggle to win over Gen Z

By Gloria Methri

The banking sector has emerged as the most trusted industry in digital services for the second year in a row, according to the newly released 2025 Thales Digital Trust Index. The report, based on a global survey of over 14,000 consumers across 14 countries, underscores the continued confidence in financial institutions despite a broader decline in digital trust across industries.

Trust in Banking Holds Strong, but Gaps Remain

Banks once again topped the Digital Trust Index, with 51% of individuals aged 55 and above trusting financial institutions with their personal data. However, the findings highlight a generational divide, as only 32% of Gen Z consumers (aged 16-24) expressed similar levels of confidence. This discrepancy signals an urgent need for banks to strengthen engagement strategies and security measures to win over younger users.

Declining Digital Trust Across Most Sectors

While the banking sector retained its leadership in consumer trust, the study revealed an overall drop in confidence across most industries. Only the banking, insurance, and government sectors saw either stable or slightly improved trust levels. Government organisations experienced the biggest trust gain, with 42% of respondents ranking them as trustworthy, up from 37% in the previous year.

The decline in digital trust across industries reflects growing consumer concerns over data privacy, security breaches, and the handling of sensitive information. Younger generations, in particular, remain wary of how businesses manage their personal data, pushing organisations to enhance transparency and security frameworks.

As banks continue to lead the trust index, industry leaders must focus on bridging the generational trust gap by implementing robust cybersecurity measures, improving digital literacy, and fostering greater transparency in data management. The latest findings reinforce the crucial role of trust in the evolving digital landscape, where consumer confidence remains a key differentiator in long-term business success.