Friday 21st December 2012 | 04:36
CBI comment on Parliamentary Commission on Banking Standards report
The CBI today (Friday) commented on an interim report from the Parliamentary Commission on Banking Standards which calls for a strengthening of bank ring-fencing proposals.
Matthew Fell, CBI Director for Competitive Markets, said:
“The right way forward on bank structures is to implement the ring-fencing proposals as set out in the Banking Reform Bill, which strike a balance between increasing financial stability and giving growing companies access to the services they need under a universal banking model.
“It is important that banks implement the ring-fence fully. Whilst the threat of full separation might help to concentrate minds, such a move would be detrimental to businesses, preventing them from accessing the full range of services they need from a single provider.
“Having addressed the important question of structure, the Commission should now shift its focus to driving a culture change where the customer is front and centre of everything that banks do, where increasing competition should play a major part.”