This HoC research briefing provides an overview of policy relating to the closure of bank and building society branches and to efforts to protect access to cash.

FCA has published the results its review of banking firms’ implementation of the Consumer Duty. The review looked at actions firms had taken for customers in financial difficulty, dealing with bank accounts of deceased or incapacitated customers, fraud and security breaches, business current accounts and/or mortgages for debt consolidation.  In addition to sector-focused work, FCA will explore how firms are meeting our expectations under the Duty for themes and issues across multiple sectors.

TSC has now published a letter from Abby Thomas which sets out about complaints brought to FOS relating to de-banking.

This webpage provides applicants with answers to questions on getting the registration ready, associated individuals and what happens after the application has been submitted.

HMT has confirmed that a public consultation will be launched shortly to consider how changes to threshold conditions are best delivered, before legislating next year, as part of the Government’s intention “to put an end to de-banking for freedom of speech reasons”.

FCA has published a report which sets out the findings of its initial data exercise on bank account access and closures and has announced details of further work in this area.  FCA states that the information supplied by banks, building societies and payment companies suggests that no firm closed an account between July 2022 and June 2023 primarily because of a customer’s political views.  FCA has written to HMT in order to set out a number of areas the Government may wish to consider on the provision of banking services.  FCA has also published research note on international de-risking.  The full report, letter to Jeremy Hunt and the research note may be downloaded individually via the following link. 

FCA reports that it has requested information from the largest banks and building societies on bank account closures.  The regulator will analyse the results and provide an initial assessment by mid-September 2023.

FCA has published a report on the state of competition in the cash savings market, results the regulator expects to see and the actions needed to achieve these.  FCA notes that it has seen some progress in recent weeks but in line with the Consumer Duty, but that much more is required to ensure savers consistently get a better deal.  FCA intends to further review and quantify its desired outcomes for the cash savings market in the second half of 2023, stating it will propose further action if insufficient progress is made.

ESMA has submitted this report the European Parliament, the Council and the EC. ESMA provides an overview of the marketing requirements across Member States, and analyses the effects of national laws, regulations and administrative provisions governing the marketing communications for investment funds.  The report found that the transposition of the Directive on cross-border distribution of funds and the entry into force of the ESMA Guidelines on funds’ marketing communications helped reach a greater level of harmonisation in areas where national divergences existed.  ESMA notes that only a limited number of national competent authorities carried out any ex-ante verifications of marketing communications, but an increasing number of authorities reported carrying out ex-post verifications.  

PSR’s response to TSC’s report of February 2023 has now been published.