BBA issues new anti-fraud advice
by Gill Montia
Story link: BBA issues new anti-fraud advice
The British Bankers’ Association (BBA) has come up with some new advice on avoiding fraud which has been developed in consultation with High Street banks, the Serious Organised Crime Agency and Financial Fraud Action UK.
There are seven guides in all, one offering advice to professionals on how best to safeguard vulnerable customers and six [...]
Bank of China calls for corporate governance reform
by Richard Kilner
Story link: Bank of China calls for corporate governance reform
The Bank of China has called for reform of the internal systems and corporate governance structure of the Chinese banking sector.
Although the rising superpower’s financial sector did not show the defects of the West, nor suffer the same degree of loss, in the recent financial crisis, the Bank of China has called for reformation.
Chinese banks [...]
BBA CEO argues against kneejerk regulation
by Richard Kilner
Story link: BBA CEO argues against kneejerk regulation
Angela Knight, the chief executive officer of the British Banking Association, has warned against kneejerk reform of banking regulation by the UK or the EU.
Knight, who has previously worked as Economic Secretary to the Treasury, urged those considering reforms to look in detail at the possible impact of actions such as splitting up retail and [...]
UK banks sign up to new financial reporting regime
by Gill Montia
Story link: UK banks sign up to new financial reporting regime
The Financial Services Authority (FSA) has announced that the major UK-headquartered banks have agreed to “a tough new code” for financial reporting disclosure.
The new regime forms part of proposals aimed at improving investor confidence and also makes it easier to compare and contrast banks’ performances.
According to the regulator, the UK’s major banks are [...]
BBA and CML respond to FSA mortgage review
by Gill Montia
Story link: BBA and CML respond to FSA mortgage review
The British Bankers’ Association (BBA) has responded to the FSA’s proposals on mortgage lending, published today, stating that banks pay “particular attention” to affordability in a way that is not limited to “salary multiples or loan-to-value ratios”.
The body therefore “welcomes the FSA’s similar emphasis on the overall affordability of the mortgage for the customer”.
Meanwhile, the [...]
BBA responds to FSA regulation proposals
by Gill Montia
Story link: BBA responds to FSA regulation proposals
The British Bankers’ Association (BBA) has published its response to the Financial Services Authority’s (FSA) discussion paper on banking regulation.
The paper was circulated earlier this year to accompany the Turner Review, which recommends steps that the international community needs to take to enhance regulatory standards.
While the BBA says it welcomes the FSA’s broad approach, it [...]
Consumers win latest round in overdraft charges case
by Gill Montia
Story link: Consumers win latest round in overdraft charges case
The banks involved in the High Court case brought by the Office of Fair Trading (OFT) to establish the legality of unauthorised overdraft charges, have lost an appeal against a ruling in the case.
Last year, Mr Justice Andrew Smith ruled that the OFT had the right to decide whether or not the charges were fair [...]
Banks drop single premium PPI
by Gill Montia
Story link: Banks drop single premium PPI
Leading High Street banks have finally conceded to pressure over the sale of payment protection insurance (PPI) and will cease selling single premium PPI with their unsecured personal loans at the end of this month.
Alliance & Leicester, Barclays, Co-Operative Bank, Lloyds Banking Group and RBS/Natwest will henceforth offer regular premium PPI instead.
Controversy over PPI sales [...]
Credit card spending steady as mortgage lending plummets
by Gill Montia
Story link: Credit card spending steady as mortgage lending plummets
The British Bankers’ Association (BBA) has published figures for August which show credit card spending holding steady at £7.3 billion, in line with recent monthly averages.
Consumers repaid £7.4 billon during the month but the total outstanding debt rose by £400 million, to £33.6 billion, once interest and charges had been included.
According to the BBA, [...]
New guidelines promise to speed up ISA transfers
by Gill Montia
Story link: New guidelines promise to speed up ISA transfers
The British Bankers’ Association (BBA) has issued new guidance on the transfer of funds from Individual Savings Accounts (ISAs).
Consumers have long been complaining that they are losing interest as a result of delays in transfers and the new regulations should reduce the time taken to complete the process.
The BBA has joined forces with the Building [...]
OFT report slates current account providers
by Gill Montia
Story link: OFT report slates current account providers
The Office of Fair Trading (OFT) has completed an investigation into the UK banking sector’s provision of personal current accounts and has concluded that many consumers do not know how much they are paying in charges or the rate of interest they receive on their current account.
There are estimated to be 54 million active personal [...]
uSwitch accuses banks and stores of irresponsible lending
by Gill Montia
Story link: uSwitch accuses banks and stores of irresponsible lending
A survey by price comparison website, uSwitch, suggests that millions of consumers have been issued with credit cards over the past year without giving proof of their financial status.
uSwitch accused banks and retail stores of acting irresponsibly after its Credit Card Affordability Survey revealed that 84% of people questioned, who had been approved for credit [...]
BBA completes Libor review
by Gill Montia
Story link: BBA completes Libor review
The British Bankers’ Association (BBA) is introducing some changes to the way in which the London Interbank Offered Rate (Libor) is set.
Since the onset of the credit crisis Libor, which defines the rates at which banks lend to one another, has remained high despite cuts in the Bank of England’s base rate.
Some economists have been [...]
BBA opposes FSA attack on tied advice
by Gill Montia
Story link: BBA opposes FSA attack on tied advice
The British Bankers’ Association (BBA) has criticised new measures being proposed by the Financial Services Authority (FSA) that could curtail or even outlaw tied advice, such as advice given by a bank based on the range of products its provides.
The BBA believes that consumers could lose out under the proposals because they would be caught between [...]
BBA expedites Libor review
by Gill Montia
Story link: BBA expedites Libor review
The British Bankers’ Association (BBA) has announced that it is bringing forward its review of the way in which it calculates the London Interbank Offered Rate (Libor), the interest rate at which banks lend to one another.
Three month Libor has seen record high levels since the onset of the credit crisis, and has remained high [...]
UK banking jobs to be cut by 15%
by Dave Nixon
Story link: UK banking jobs to be cut by 15%
Job losses accounting for around 15 per cent of the US and European investment banking industry have become a near certainty in the initial half of this year following the latest turmoil on Wall Street, senior bankers have cautioned.
The US is anticipated to see the utmost cutback in headcount, at about 15 per cent, reflecting [...]
BBA urges caution on legislation for banks in crisis
by Gill Montia
Story link: BBA urges caution on legislation for banks in crisis
The banking industry is urging Chancellor of the Exchequer, Alistair Darling, to take a cautious approach to new legislation that is being drawn up as a result of the Northern Rock crisis.
The British Bankers’ Association (BBA) has advised the Treasury that it could undermine creditors’ rights if it proceeds with a “special resolution regime” that [...]
Northern Rock borrowing increases to £23 billion
by Gill Montia
Story link: Northern Rock borrowing increases to £23 billion
Shares in Northern Rock, the troubled mortgage bank, fell 6.5% on Thursday when it was revealed that the bank’s borrowing had increased to around £23 billion.
Figures from the Bank of England covering the week to the 31st October show a £2.2 billion increase in “other assets”.
Analysts have taken this to indicate that Northern Rock has [...]
Penalty fees survey shocks BBA
by Gill Montia
Story link: Penalty fees survey shocks BBA
uSwitch, the price comparison website, has published the results of a poll in which over 4,000 of its customers were surveyed about the penalty fees charged by leading UK banks.
The research was conducted by YouGov and concluded that UK bank customers who have been charged such fees have paid an average of £742 each, over [...]
Base Rate Increases to 5.75%
by Gill Montia
Story link: Base Rate Increases to 5.75%
The Bank of England has increased its base rate from 5.5% to 5.75%. The increase is the fifth since August 2006 and follows warnings from the Bank’s Monetary Policy Committee (MPC) that inflationary pressures remain a danger.
The content of the MPC’s statement accompanying the news was similar to the one issued in May, when the [...]
