Harry WellsThe Government has published a second formal response to its December 2023 report on the progress of the Edinburgh reforms. This response is more detailed than the Government’s initial response and includes an...
Category - Retail Banking
Lucy Hadrill
Banking and financial services included in key Smart Data sectors
The Department for Business and Trade has published the Smart Data Roadmap to outline the action it is planning to take in 2024 to 2025 using the provisions of the Data Protection and Digital Information Bill on Smart...
Emma Radmore
JROC seeks input on design of future entity for open banking
Further to its April 2023 recommendations for the next phase of open banking in the UK, the Joint Regulatory Oversight Committee has published its proposals for the design of the future entity for open banking, which...
BBRS publishes quarterly data report
The BBRS has published its quarterly case resolution data as of 31 March 2024. Key highlights include: From a total of 1,037 case registrations, there were 1,006 resolved case outcomes and 31 remain open. Of the...
FCA updates perimeter report
The FCA has updated its Perimeter Report on its website. It was last updated in March 2023. Among the issues discussed are: FCA’s general approach to the perimeter; when it will take action against unauthorised...
Fair Business Banking group publishes call to action
The All Party Parliamentary Group on Fair Business Banking has called for input into its SME manifesto. The document, which wants to address the challenges that face SMEs when dealing with financial institutions, is...
Government sets out third phase of Smarter Regulatory Framework
Following its Smarter Regulatory Framework (SRF) delivery plan, Treasury has published a follow-up paper which sets out the progress made so far and the government’s approach to the next phase of the SRF programme...
SME Manifesto redoubles efforts in call to action
The All-Party Parliamentary Group on Fair Business Banking has republished its call for action to help it build its SME Manifesto, which wants to target access to finance and dispute resolution. So far, it has started...
PRA publishes solvent exit planning statement
PRA has published Policy Statement PS5/24 – Solvent exit planning for non-systemic banks and building societies providing feedback to consultation paper (CP) 10/23 – Solvent exit planning for non-systemic banks...
Duncan ScottFCA updates on skilled persons reports
The latest statistics for skilled persons reports FCA commissioned in Q3 2023/24 show: 24 reports in total 7 related to the retail banking and payments sector, 6 to retail investments, 5 to wholesale markets and 4 to...
Budget reverses HNWI update and ups Economic Crime Levy
Among the announcements relevant to regulated financial services in Jeremy Hunt’s budget are: a bizarre U-turn to reinstate the previous eligibility criteria for high net worth and sophisticated investors, when...
FOS data shows credit card complaints on the rise
The latest FOS products complaints data (covering October – December 2023) shows that complaints about credit cards reached the highest level ever recorded in a 3-month period. 55% of these complaints were about...
Treasury Committee publishes SME de-banking report
The Treasury Committee has published a report based on data from 8 of the largest banks that shows that banks have closed 2.7% of small business accounts during the past year. The banks also gave reasons for the...
Fair Business Banking Group reports on de-banking
The All Party Parliamentary Group on Fair Business Banking has reported on de-banking. The report looked at why banks have been refusing or withdrawing banking facilities giving reasons that customers felt were at best...
LSB publishes lending standards consultation responses
The Lending Standards Board (LSB) has published its response to the views received on its consultation on a review of the Standards of Lending Practice (the Standards) for business customers. The review itself was...
FCA welcomes call for input on ‘Big Tech’ competition issues
FCA has issued a letter welcoming the Competition Division’s call for input on the potential competition impacts from data asymmetry between Big Tech and firms in financial services. In particular, FCA notes that...
FCA Practitioner Panel responds to access to cash proposals
The Practitioner Panel has responded to the FCA’s access to cash proposals (CP23/29). The Practitioner Panel believes that: the approach is responsive to changes in need which may derive not only from shifts in...
Vida FatemiTreasury consults on enhancements to the Special Resolution Regime
HM Treasury has issued a consultation on proposals for enhancing the Special Resolution Regime (SRR). Specifically, the consultation seeks views on plans to introduce a new mechanism to facilitate the use of certain...
FCA reflects on 2023
Nikhil Rathi has reflected on some of FCA’s key achievements and milestones from 2023. He highlighted: the implementation of the Consumer Duty and changes firms have already made as a result; FCA telling GAP...
FCA updates on retained EU laws
FCA has updated its website with details of the current state of play in relation to the repeal and replacement of retained EU laws in the financial services sector. Coming up in 2024 will be many changes and papers...
Open banking and VRP progress reports
The Joint Regulatory Oversight Committee has updated on progress in open banking. It is pleased with the significant progress made since its April report, and has summarised what has been happening across all its...
FCA publishes Consumer Duty retail banking review
FCA has published its conclusions from a multi-firm review it carried out in the retail banking and lending sector, to help it understand how firms had approached reviewing their products and services against the...
Basel Committee consults on targeted adjustments to standard on IRRBB
The Basel Committee has published a consultation on targeted adjustments to its 2016 standard on interest rate risk in the banking book (IRRBB). Under the IRRBB standard, banks are required to calculate measures of...
FCA consults on access to cash
FCA is using its powers under FSMA 2023 to consult on new rules to require designated banks and building societies to assess gaps in access to cash and act to fill them. FCA says that, currently, over 95% of people in...
FCA updates on cash savings
FCA has provided an update on progress made in implementing its cash savings action plan. In its update FCA notes that it has seen progress in the speed and size of interest rate changes for savers and improvements in...
FCA updates on LIBOR transition powers
On 1 January 2018 the EU Benchmark Regulation (BMR) took full effect. Following the UK’s withdrawal from the EU and the end of the transition period, the BMR has been brought into UK law (UK BMR). Under the UK BMR, FCA...
Harshil PatelFCA proposes credit information changes
FCA has announced proposals which will: require FCA-regulated data contributors, such as lenders, to share credit information with credit reference agencies (CRAs); introduce a common data reporting format to enhance...
Treasury Select Committee comments on plans for a ‘digital pound’
The Treasury Select Committee (the Committee) has commented on Bank of England (BoE) and HM Treasury proposals for a retail ‘Central Bank Digital Currency’ (CBDC) or ‘digital pound’. Such a...
FCA publishes regulatory initiatives grid
The FCA has published the Financial Services and Regulatory Initiatives Forum’s latest biannual Regulatory Initiatives Grid. This will allow the financial services industry and other stakeholders to understand and...
BoE consults on wholesale cash distribution market oversight
Following its commitment to safeguard access to cash across the UK, the Government granted the BoE powers to ensure that the wholesale cash distribution infrastructure remains effective, resilient and sustainable as...
FSB publishes 2023 G-SIB list
FSB has published the 2023 list of globally systemically important banks (G-SIBs) using end-2022 data and applying the assessment methodology designed by the Basel Committee on Banking Supervision (BCBS). Compared to...
BBRS to continue into 2024
BBRS and its participating banks have agreed the service will continue into 2024 – with no new set date for scheme closure.
Basel Committee publishes discussion paper on digital fraud
The Basel Committee on Banking Supervision has issued a discussion paper on digital fraud and banking. The paper is a high-level assessment of the supervisory and financial stability implications of digital fraud for...
Regulators consult on BoE levy regulations
the BoE and Treasury are consulting on how to implement the new levy based arrangement which will replace the Cash Ratio Deposit scheme. Deposit-taking firms (except credit unions and friendly societies) with eligible...
FCA calls for better treatment of fraud victims
FCA has carried out a review of firms’ fraud controls and complaints handling, and is disappointed with the way some firms support fraud victims. While it did find some examples of good practice, it found many...
PRA writes to deposit takers on innovation and stablecoins
PRA has written a Dear CEO letter to provide clarity on the ways in which it expects deposit-takers to address risks that arise from issuing multiple forms of digital money, while welcoming the benefits that could come...
FCA speech: next steps for Consumer Duty
Nisha Arora (Director of Cross Cutting Policy and Strategy at the FCA) has delivered a speech on the Consumer Duty and the next steps for firms. The speech highlighted the following examples of good practice identified...
EU-UK Financial Regulatory Forum release joint statement
The first meeting of the EU-UK Forum took place on 19 October. It was attended by the UK and EU regulators and the ESAs. The shared objectives of the parties included the preservation of financial stability, market...
FCA updates complaints data
FCA has published updated complaints data based on returns from firms. Snapshots from the 2023 H1 data include: a slight increase in complaints from the previous 6 months (5%); most significant increases in the...
FCA updates on skilled persons reports
FCA has published the numbers of skilled persons reports commissioned in the first two quarters of 2023: From April to June it commissioned 11 reports, of which 4 related to retail investments and 3 to wholesale...
PRA annual assessment of credit unions
The PRA has written to credit unions following its annual assessment of the sector. Key messages for both large (those with total assets between £10m and £50m) and small (those with total assets up to £10m) credit...
FCA speaks on financial inclusion
Nikhil Rathi has spoken on how FCA is looking for solutions to tackle financial exclusion, but that it needs help from industry and technology to do so. He explained that FCA does not have the remit or powers to tackle...
Treasury to enable action against debanking
The Chancellor has announced a plan that will enable regulators to take action if any bank is found to undermine or fails to protect its customers’ rights. Treasury plans to consult soon on how best to deliver the...
UK Finance respond to ban on cold calling
UK Finance has responded to HM Treasury’s proposals to ban cold calling in financial services and is supportive of the proposals. The measures aim to protect consumers, particularly elderly and vulnerable...
Commons publishes research briefing on access to cash
The House of Commons Library has released a research briefing that looks at the future of local banking services and access to cash. The paper looks at the latest statistics on cash usage and availability of free to use...
UK Finance comments on account access and closure
UK Finance has commented on FCA’s report on account access and closure – noting that the main reason for account closure is not because of political beliefs or other lawfully held views, but because of...
FCA reports on bank account access and closures
FCA has published its initial findings in its review of bank account access and closures. It has based its conclusions on information provided for the year to June 2023 by 34 firms. The key conclusion is that no firm...
Q1 complaints stats show increase in motor and building issues
FOS has published its latest quarterly complaints data. The data covers April – June 2023. All the most complained-about products have seen year on year increases, and the most complained about product remains...
FCA to analyse lenders’ fair value assessments
The FCA has announced it will analyse the fair value assessments provided to it by 9 banks and building societies. This follows the introduction of the Consumer Duty and the 14-point action plan published by FCA in July...
BoE publishes policy statement on wholesale cash distribution supervision
BoE has published a statement of policy and the responses to a consultation on its supervisory approach to market oversight for wholesale cash distribution (WCD) under its new powers under Part 5A FSMA 2023. BoE’s...
Laura WilesTreasury and FCA confirm approach on access to cash rules
Treasury has published a cash access policy statement setting out the Government’s approach to access to cash deposit and withdrawal services for UK current accounts. The aim of the statement is to inform...
CMA survey shows best results for challenger banks
CMA has published the 11th version of its banking customer satisfaction survey. The surveys rank providers of personal and small business current accounts against a number of questions, including how likely they would...
Ombudsman News highlights current hot topics
The latest edition of FOS’ Ombudsman News highlights: the Consumer Duty: now the Duty is in force, FOS will be speaking to firms to assess the complaints firms are receiving; FOS’ updated guidance for firms...
FCA asks banks for account closure information
FCA has followed up its announcement of its upcoming investigation of account closures with a request to the largest banks, building societies and payment firms to provide it, by 25 August, with information on: the...
FCA publishes letter on freedom of expression and provision of banking services
FCA has published a letter to HM Treasury on freedom of expression and the provision of banking services, in response to increased public concern about payment accounts being closed without fair justification. The...
FCA publishes Q2 fin proms data
FCA has published its financial promotions data for Q2 2023, which showed that 1507 promotions were amended or withdrawn as a result of FCA intervention. As with the data for Q1, the majority of cases related to retail...
FOS blogs on consumer card protections
FOS has published a blog on how businesses can help consumers who have problems with goods and services. It has noticed that consumers aren’t always aware of the protections they have when paying for goods or...
Government consults on financial product cold call ban
The Government is consulting on how to ban cold calls offering any financial products. It says that once the ban is in force, it will be clear to anyone receiving a call for a financial product that the call is a scam...
Consumer Duty takes effect
The Consumer Duty has taken effect for all on-sale products. FCA has reminded consumers of the protections it gives them.
Read our summary of what FCA is expecting from firms.
FCA publishes cash savings action plan
FCA has published a 14 point action plan for banks and building societies. The plan aims to ensure: that firms pass on interest rate rises to savers appropriately; good and effective communication with customers; and...
Financial Lives conclusions make uncomfortable reading
FCA has published the results of its latest Financial Lives survey, which it says serve to highlight the importance of the Consumer Duty. During the year to May 2022: less than half of UK adults had confidence in the UK...
Commons discusses BBRS failings and alternative solutions
In a discussion on the BBRS, the House of Commons has outlined how the service failed to restore trust between SMEs and their lenders, or resolve a meaningful number of complaints. MPs also set out some alternative...
CME publishes annual report on SME banking behavioural undertakings compliance
CMA has published its annual report on compliance with the SME banking behavioural undertakings 2002, covering the period from 1 July 2021 to 30 June 2022. The report analyses how well 8 UK banks have complied with...
Quincecare Duty defined in Philipp v Barclays
As we reported in last week’s edition of FIN in Philipp v Barclays Bank UK PLC [2023] UK SC25, the Supreme Court allowed the Barclays appeal against the Court of Appeal decision that had, in essence, widened the...
Scott NodderFCA and ICO confirm expectations for communications to savings customers
FCA and ICO have published a joint letter to UK Finance and the Building Societies Association, confirming that savings providers can inform their customers of the best interest rates available to them, even where...
Banks and FCA respond to Treasury on further savings rates queries
Early in July, the Treasury Committee progressed its campaign for banks to increase savings rates by issuing letters to FCA and the UK’s biggest high street lenders: Barclays, HSBC, Lloyds and Natwest. The banks and FCA...
Supreme Court rules in favour of Barclays in APP fraud case
The Supreme Court has handed down its decision in the case of Philipp v Barclays Bank UK PLC [2023] UKSC 25. Barclays had appealed a decision from the Court of Appeal that it owed the customer a contractual duty not to...
FPC publishes Financial Stability Report
BoE has published the July 2023 Financial Stability Report, setting out FPC’s view on the stability of the UK financial system and what it is doing to remove or reduce any risks to it. FPC notes that the current...
BCBS consults on core principles for banking supervision
BCBS is consulting on revisions to its Core principles for effective banking supervision (Core Principles). In its April 2022 review, BCBS sought to reflect supervisory and regulatory developments, structural changes in...
Treasury Committee probes further on savings rates
The Treasury Committee has further progressed its campaign for banks to increase savings rates by issuing letters to FCA and the UK’s biggest high street lenders: Barclays, HSBC, Lloyds and Natwest. In...
FSM Bill gets Royal Assent
As expected, the Financial Services and Markets Act 2023 got Royal Assent on 29 June. Heralding it, Treasury described its key features as: bringing the ability to tailor financial services regulation to fit UK markets...
Government and regulators agree consumer support action plan
Chancellor Jeremy Hunt has chaired a roundtable with CEOs from CMA, FCA, Ofcom, Ofgem and Ofwat as part of the Government’s plan to halve inflation this year and return to the 2% target. Treasury expects that the...
FSM Bill completes Parliamentary process
The FSM Bill returned to the Lords for consideration of the few amendments the Commons had made. These were agreed, and so the Bill has completed its Parliamentary passage and now awaits Royal Assent. It is expected to...
JROC publishes API pricing principles
The Joint Regulatory Oversight Committee for Open Banking has published a set of principles that banks and registered third parties should follow when agreeing a premium API commercial model. Premium APIs will allow...
FSMB back in Commons on 26 June
The FSMB will return to the Commons on 26 June, for the House to consider the version as amended in the Lords.
LSB speaks on digital evolution and inclusivity
Anna Roughley of the LSB has spoken on the evolution of digital and technical services in the context of providing a consumer-focussed outcome for lending. First she noted that, while digital banking is ideal for many...
‘Scale challenger’ banks respond to Treasury Committee on savings rates
The Treasury Committee last month expanded its campaign for banks to increase savings rates offered to loyal customers, questioning why easy access savings rates are much lower than the current BoE base rate. The...
BBRS publishes 2022 Annual Report
The 2022 Annual Report of the BBRS highlights that the scheme did grow in its second year but case volumes were still lower than anticipated. However, the Board is satisfied that it did all it could to find cases and is...
JROC sets out open banking programme
The Joint Regulatory Oversight Committee has published its programme of work to take forward recommendations for the next phase of open banking. Its proposals include creating 2 regulator-led working groups to develop...
FCA publishes access to cash data
The FCA has published its data on geographical access to cash coverage in the UK for Q1 2022 and Q2 2022. The FCA and Payment Systems Regulator (PSR) gather and update data on access to cash on a quarterly basis. The...
FIN. TeamLSB looks at access for d/Deaf customers
LSB has published a report looking at how better to drive inclusion for d/Deaf customers in the banking and credit sector. The report highlights the challenges these customers face, and LSB hopes it will enable firms to...
FSMB: Lords report stage scheduled for 6 June
The report stage in the Lords for the FSM Bill will start on 6 June. There is no set length of time for it to last, although further sittings have already been scheduled for 8 and 13 June.
FOS publishes discrimination complaints guidance
FOS has published an information page for firms dealing with complaints relating to discrimination. Complaints include: that financial services providers have not made reasonable adjustments to take account of a...
PRA publishes its 2023/24 Business Plan
The PRA Business Plan sets out PRA’s strategy, workplan, and budget for 2023/24. It will be delivered through the following strategic goals: Maintain and build on the safety and soundness of the banking and insurance...
LSB publishes its 2023/24 Business Plan and Budget
The Lending Standards Board (LSB) has published its Business Plan and Budget for 2023/24. Its focus areas this year will include financial resilience and digital journeys, and its ongoing work on the prevention of APP...
FCA publishes aggregate complaints data for H2 2022
FCA has published its overview of complaints in the second half of 2022. Overall it found: a decrease of 6% in complaints compared to H1, largely due to decreases in complaints about banking and credit cards, insurance...
FCA responds on savings rates
FCA has responded to the Treasury Committee’s enquiries on what analysis it had done on on whether banks were making disproportionate profit by increasing mortgage rates more quickly than savings rates...
FCA pleased with overdraft rules effect
FCA says customers have saved £1bn as a result of its improved rules on overdrafts which have reduced high fees for unarranged borrowing, have removed complex charging structures and required firms to help struggling...
Regulators set out views for next phase of Open Banking
The Joint Regulatory Oversight Committee has published its recommendations for the next phase of open banking. Its priorities for the next 5 years cover: levelling up availability and performance mitigating the risks of...
FCA requires IBA to continue to publish synthetic US dollar LIBOR
Following its November 2022 consultation, FCA has decided to require LIBOR’s administrator, ICE Benchmark Administration Limited (IBA) to continue to publish the 1, 3 and 6 month US dollar LIBOR settings on a...
PSR confirms APP scam data publication plans
PSR has confirmed that it will direct 14 large UK PSPs to collect and provide APP scam data to it which will cover 95% of transactions. The data will show: the proportion of APP scam victims who do not get reimbursed...
PSR calls for views on LINK Direction review
PSR is carrying out its first annual review of its Specific Direction 12, designed to ensure that LINK has a broad geographic spread of free to use cash machines and meets service-user needs. It issued the direction...
Banks respond to Treasury Committee on savings rates
The Treasury Committee had written to Barclays, HSBC, Lloyds and NatWest as part of its inquiry into retail banks, asking them about savings rates. As a result of the responses it has now written to the FCA. The...
FOS publishes H2 2022 complaints data
FOS has published data on complaints received between July and December 2022. It saw a slight increase in complaints over the first half of the year, and received nearly 80,000 new complaints. It upheld 34% of...
BBRS SME Liaison Panel closes
Antony Townsend has resigned as Chair of the BBRS SME Liaison Panel, saying it has been very difficult for him to make progress and he has been disappointed at some of the BBRS responses to the Panel’s concerns...
Parliament to debate acceptance of cash
On Monday 20 March, Parliament will debate petitions relating to the acceptance of cash. The session will be lead by Martyn Day MP. One petition, which has more than 33,000 signatures, seeks to ‘make it unlawful...
Treasury Committee unimpressed with scam reimbursement proposals
The Treasury Committee has described the proposals for the PSR to require banks and building societies to fully reimburse victims of APP scams where the loss is over £100 as “half baked”. The Treasury Sub...
Court requires FOS to review decision
The High Court has taken the relatively rare step of ordering FOS to review a decision. The complainant, Mr Moniak, had been a customer of Barclays. Following an inheritance in 2010, a total of £500,000 was paid into...
Latest FOS data shows rise in complaints
FOS has published its complaints data from Q3, 2022/23, which shows a rise of 6,000 in new complaints, with the most significant rise relating to running account credit but current accounts are still the most complained...
Strategic Working Group publishes report on Open Banking
The FCA has welcomed a report by the Strategic Working Group , published as an initial step towards publication of recommendations for the vision for open banking in the future. The Joint Regulatory Oversight Committee...
BoE speaks on digital pound
Sir Jon Cunliffe has spoken on the digital pound, as the BoE and Treasury launched their consultation. He noted that, while no firm decision can be taken on implementing the digital pound, the taskforce is now moving to...
Treasury Committee critical of scam reimbursement plans
The Treasury Committee has published a report criticising both the “painfully slow” implementation of mandatory reimbursement for fraud victims and the PSR’s proposals that banks and building societies...
FCA publishes Consumer Duty sector letters
FCA has published a set of Dear CEO letters it has sent to several sectors on preparation for the Consumer Duty. It has so far written to: asset management, custody and fund services and alternatives; consumer...