Free banking 'coming to an end'

Posted by Emily Swanson

Consumers may no longer be able to access free banking services sooner rather than later.

That is the opinion of Keith Churchouse, director of Churchouse Financial Planning, who believes the Independent Commission on Banking's (ICB) report on the industry will have a profound impact on the way financiers offer their services.

Recently (September 12th), the body published a document following a period of consultation in which it suggested that high street lenders should ringfence their investment activities away from the funds held on behalf of their customers.

This change has been welcomed by chancellor George Osborne as it should help avoid any repeat of the bailout situation witnessed in the UK during the recession.

However, due to the fact such reforms are expected to cost banks and building societies, Mr Churchouse believes this charge will be passed on to consumers.

"I can certainly see the end of free banking coming along very quickly indeed," he warned. ADNFCR-2353-ID-800731651-ADNFCR

16/09/2011 15:35

News category: Consumer

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