A PYMNTS Company

UK: Market regulators find savings account market uncompetitive

By  |  January 20, 2015
UK: Market regulators find savings account market uncompetitive

Britain’s Financial Conduct Authority (FCA) is asking banks to be more transparent with the rates they offer for savings accounts and to clearly communicate changes. This request comes with the FCA revealing that competition in the cash savings market “often does not work well,” with $242 billion held in savings accounts with interest rates equal to or lower than the Bank of England’s base rate of .5 percent.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    The FCA wants to loosen the hold of the four largest lenders: Barclays Plc, HSBC Holdings Plc, Lloyds Banking Group Plc and Royal Bank of Scotland. The four entities hold more that 75 percent of the $1.1 trillion market. Christopher Woolard, director of strategy and competition at the FCA, said, “Firms should be competing to offer the best possible deal and consumers should have the information they need to help them shop around.”

    Full Content: Bloomberg

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.