Is George Osborne about to hit the UK banking industry?
Many believe that George Osborne will use his Mansion House speech this evening to launch a number of new initiatives aimed at the UK banking arena. He will warn them that they need to pay for the damage which "they inflicted" on the UK economy and indeed there will be talk of new banking taxes and a banking levy discussed.
It is also believed that many Liberal Democrat politicians are pushing George Osborne to instigate an investigation into integrated banking arrangements such as Barclays Bank, which operate both commercial banking activities and investment banking operations. Some of the more radical moves discussed include splitting commercial banking and investment banking into two separate entities thereby reducing the risk to an overall company from any one of these operations. This is not something which will go down well in the City where the likes of Barclays Bank, one of the integrated banking giants, has operated relatively successfully for many years.
Even though it may seem like a knee-jerk reaction to a once-in-a-lifetime event, i.e. the credit crunch, the UK banking arena could be about to change forever with many people concerned that the financial industry has become too powerful and too influential.
When did you last complain about your bank?
Even though the UK financial sector touches all areas of our lives, it seems that very few people in the UK have actually followed through with their complaints regarding financial investment, financial services and the financial sector as a whole. Recent figures from the Financial Services Authority (FSA) show that while having record complaints passed to the regulator, more and more people are h...Read More
Barclays chief executive apologises to couple
Barclays bank chief executive John Varley has today apologised personally to two Barclays bank customers who have been proven to have received inappropriate investment advice. John Day, 76, and his wife Maureen were advised by a Barclays bank representative to place more than three quarters of their investment capital into a "single risky investment fund". The couple lost tens of thousands of pou...Read More
Virgin Money announces acquisition of Church House Trust
Despite intense speculation that Virgin Money had already agreed a deal with the UK government for the acquisition of Northern Rock, the company has today surprised the markets with the purchase of Church House Trust, a small regional bank, for an initial outlay of £12.3 million. While this is obviously tiny compared to the likes of Northern Rock and other UK banking institutions, it does secure...Read More
Are The Banks Trying To Confuse You?
It seems that last weeks announcement of a reduction in overdraft charges by Barclays Bank may not be quite as straight forward as it seems. While the reduction in overdraft charges is going ahead, and has been well received by customers, it seems that Barclays may actually be using these changes to slip in a number of new accounts – all of which carry charges.
Germany put pressure on UK with total bank guarantee scheme
Slowly but surely we are seeing more and more European governments announcing full savings deposit protection schemes which will see savings protected in their entirety in the event of any bank collapse. This is putting pressure on the UK government to follow suit but there seems to be a resistance to such a scheme, well at least for the moment.
Gordon Brown and the opposition part...