BBA highlights low UK banking costs

by Gill Montia

Story link: BBA highlights low UK banking costs

In its annual report the British Bankers’ Association (BBA) claims that banking services available to UK customers are cheaper than those in any other developed country.

The association commissioned Oxera, the economic consultancy, to look at 11 countries and not only did the survey find that UK banking costs were lower than those of their overseas counterparts, but also that UK consumers have access to better services, in terms of obtaining loans, credit cards and overdrafts.

In publishing Oxera’s findings the BBA also pointed out that UK banks give customers good levels of transparency in the terms and conditions of services provided.

The sector currently contributes in the region of £50 billion to the UK economy, a point stressed by Sir Peter Middleton, president of the BBA, who makes the point in his introduction to the annual report that productivity in banks and financial services businesses based in the UK is among the highest in the economy.

He believes that the activities of banks in financial markets have created a trading surplus which goes a long way to offset the deficit in other sections of the economy.

Sir Peter also considers that the volume of regulatory and legislative change facing the industry is difficult for both the sector and its regulators and suggests that a pause for breath would be highly desirable.