HSBC breaches retail banking order

The Competition and Markets Authority (“CMA“) has written to HSBK UK Bank Plc concerning its breaches of Part 2 of the Retail Banking Market Investigation Order 2017 (the “Order“).

Part 2 of the Order requires the nine largest banks in the UK to ensure accurate, comprehensive and up to date Read-only product and reference information is continuously available through Open Banking Application Programming Interfaces (“APIs“).

HSBC breached Article 12 of Part 2 of the Order by publishing inaccurate information, or not publishing required information, through its Open Data APIs on more than 50 occasions. A number of both personal and business current accounts and SME lending products were affected. The incorrect information related to fees, charges and rates, as well as to eligibility criteria and features and benefits of accounts and loans.

Although the breach was self-reported by HSBC and it has clearly identified remedial steps, the CMA expresses ‘disappointment’ that this is not the first occasion upon which HSBC has breached Part 2 of the Order. However, in light of the remedial action being undertaken by HSBC the CMA has opted not to pursue enforcement action at present.

Duncan Scott