Switzerland and the Nordic countries offer the best access to affordable and useful financial products in Europe, according to new data from the Global Financial Inclusion Index. The UK ranks highest among the major European economies, reflecting stronger government and financial system support.
Financial inclusion, defined by the World Bank, means providing individuals and businesses with access to essential financial services such as payments, savings, credit, and insurance, delivered responsibly and sustainably. The index, published by Principal Financial Group and the Centre for Economics and Business Research (Cebr), assesses 42 global markets across three pillars: government support, financial system support, and employer support.
Among 14 European countries, Switzerland leads with an overall score of 71.1, followed closely by Sweden (68.8) and Denmark (68.4). These countries also rank in the global top ten for both government and financial system support, compensating for any reductions in employer-provided benefits, according to Kamal Bhatia, president and CEO of Principal Asset Management.
The UK scores 61.8, ranking fourth in Europe and tenth worldwide. Its rise into the global top ten reflects improved consumer protections, wider access to government-mandated pensions and savings schemes, and greater financial education. Bhatia highlighted the UK government’s plan to increase public spending by £70 billion annually until 2030 as a factor helping households gain access to financial resources. The proportion of people who feel financially included in the UK rose from 59% to 68% over the past year, with London maintaining its position as Europe’s leading financial center.
Italy and Turkey rank lowest in Europe, with scores of 34.9 and 39.3, respectively. Germany (53.3), France (47.9), and Spain (44.1) also fall below the European average of 54.6. Switzerland and Norway lead in government support, while Sweden and Denmark excel in financial system support. Employer support is strongest in Switzerland and Turkey but weaker in Italy and the UK.
Globally, Singapore tops the ranking with a score of 81.1, followed by Hong Kong at 71.7. Switzerland, Sweden, Denmark, and the UK join the global top ten, while the United States ranks seventh. The United Arab Emirates, at 22nd with a score of 52.7, outperforms several major European economies, including France and Spain.
Bhatia emphasized that financial inclusion requires a balance across all pillars. Digitization has become a key driver, expanding access while embedding education and safeguards to help people make informed choices.
Seema Shah, chief global strategist at Principal Asset Management, noted that this year marks the first time the overall global score has stalled after years of improvement. She attributed the slowdown largely to reduced employer-driven support as companies faced economic pressures. Richer economies that have invested in structural measures such as digitized banking and financial literacy programs have maintained more resilient frameworks for financial inclusion.
