Bank charge ruling will hit consumers hard - Cree

 

Ulster Unionist member of the Assembly Committee for Enterprise, Trade and Investment, Leslie Cree MLA, has expressed concern at the final ruling on bank charges, which will free institutions from scrutiny of their fees.

 

Speaking after the Supreme Court ruled against the Office of Fair Trading (OFT), Mr Cree said: “This judgement essentially means that the banks do not have to prove that their charges for unauthorised overdrafts are equitable.

 

“For those – particularly in the current climate – who are being repeatedly charged substantial penalties this is a severe knock,” the North Down MLA said.

 

“After a three year battle, which saw the banks brought in front of the High Court and the Supreme Court, this decision does appear to strike a blow against consumers, who have long endured disproportionate bank charges for slipping into the red.

 

“Certainly there is a role for government in protecting the consumer, and I believe that this is an avenue that should be examined.

 

“The OFT have said they will explore the use of other powers to investigate and I fully support that. There certainly must be a competition review of banks, to include consumer banking charges.

 

"Unfortunately, as the Shadow Financial Secretary Mark Hoban has said, this judgement simply perpetuates the uncertainty over bank charges which is damaging for the entire industry.

 

"I fully support the Conservative Party’s calls for a complete overhaul of consumer banking regulation, including the creation of a powerful Consumer Protection Agency.”

 

 

ENDS…