MPs call for tougher action to protect small firms from bullying banks

MPS will call for tougher action to ensure small firms are protected from bullying banks at a debate next week.

Friday, 13th April 2018, 2:06 pm
Updated Friday, 13th April 2018, 2:11 pm
Kevin Hollinrake MP

Members of the All Party Parliamentary Group on Fair Business Banking (APPG) will lead a parliamentary debate on Tuesday which will consider new ways of ensuring that victims of banking misconduct have access to justice.

In a briefing note sent out ahead of the debate, the APPG said: “It is acknowledged that SMEs (small-and-medium sized enterprises) are the life blood of the economy. However, productivity is at a standstill and SMEs are reluctant to borrow from financial institutions. The ongoing financial scandals that continue to headline the business papers do nothing to encourage confidence in the system.”

The debate will highlight the need to obtain redress for victims of financial misconduct and create an environment in which trust in financial institutions can be restored through a public inquiry.

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Kevin Hollinrake MP, the co-chairman of the APPG, has previously warned that misconduct involving the big banks has harmed tens of thousands of small businesses.

Mr Hollinrake, who is the Conservative MP for Thirsk and Malton, is calling for the creation of an independent tribunal to oversee complaints about the banks from SMEs.

He told The Yorkshire Post: “I have met many business people who have been treated appallingly by their banks and we are determined to open up an affordable route to justice.”