22nd Aug 2016 Back to top
18th Aug 2016 Back to top
  • First Impressions Count: Building a Robust Approach to Onboarding

    In the latest blog from governance risk and compliance specialists Hitec, journalist Gaynor Pengelly explains why failure to gain the necessary data to accurately engage a customer can damage a relationship and lead them directly into the arms of the competition.

17th Aug 2016 Back to top
15th Aug 2016 Back to top
12th Aug 2016 Back to top
11th Aug 2016 Back to top
9th Aug 2016 Back to top
  • Correcting a leverage ratio imbalance

    Simon Hills, Executive Director, Prudential Capital and Risk blogs about how the Bank of England’s decision to drop interest rates might impact the Leverage Ratio.

  • BBA response to the CMA final report

    Commenting on the final findings of the CMA investigation into the supply of personal current accounts (PCAs) and of banking services to small and medium-sized enterprises (SMEs), chief executive of the BBA Anthony Browne said:

    “Banks compete to attract and retain customers every day. They are also focused on giving their customers the best outcome for the services they provide. The CMA’s final recommendations will further help consumers with a package of measures which give individuals and businesses greater power to pick the products that are best for their needs.

    “Customers and businesses have already found digital banking hugely convenient and have taken advantage of mobile technology that is allowing us to bank round the clock. We are pleased the CMA has reflected that in its recommendations.

    “However, we recognise more work needs to be done to create a level playing field by supporting new banks wanting to set up business, as well as helping to grow established banks.”

8th Aug 2016 Back to top
5th Aug 2016 Back to top
4th Aug 2016 Back to top
  • BBA statement on BoE decision to cut interest rate

    Dr Rebecca Harding, BBA chief economist, said:
    “The decision to cut interest rates and increase quantitative easing sends a clear signal that the Bank of England is taking a ‘whatever it takes’ approach to stabilising the economy. Weak post-Brexit data is creating a perception that the economy is likely to slow and the decision to reduce rates has been made on the basis of a perception of risk.

1st Aug 2016 Back to top
29th Jul 2016 Back to top
  • BBA Brief – 29 July 2016

    This will be the last BBA Brief until early September 2016.

    Industry awaits EBA stress test results

    Later today, the European Banking Authority will announce the results of its latest round of stress testing of 51 European banks. According to the FT (£, p7), the most important element of the results will show how well banks’ capital can withstand worsening economic conditions and tougher regulation. Italy’s banks are predicted to fare the worst, in particular Italy’s third largest bank, Banca Monte dei Paschi di Siena, which is already trying to raise new capital, reports the BBC.

    May Brexit talks commence with Slovakian PM

    As part of her European tour to discuss Brexit negotiations, Prime Minister Theresa May met with Slovak Prime Minister Robert Fico in Bratislava yesterday. According to Reuters, Ms May stressed the need to have an open mind about a potential deal saying, “we should be driven by what is in the best interests of the UK and what is going to work for the European Union, not by the models that already exist.” Slovakia currently holds the EU Council presidency and has previously voiced concern over free movement and the rights of Slovakian nationals already resided in the UK, reports the London Evening Standard.

  • Shawbrook Bank adopt an integrated solution to IFRS 9 compliance

    Jaywing’s Risk Practice Director, Ben O’Brien, blogs about approaches to the implementation of IFRS 9, and the solutions available that maximise integration and functionality.

28th Jul 2016 Back to top
  • BBA Brief – 28 July 2016

    Michel Barnier appointed chief of Brexit talks

    The Telegraph (p6) reports that the European Commission has appointed former French Minister, Michel Barnier, as the chief negotiator for the U.K.’s exit from the European Union. Announcing the appointment, European Commission President Jean-Claude Juncker said he “wanted an experienced politician for this difficult job” (BBC). According to the FT (£, p5), Mr Barnier will oversee a commission task force as well as preparing formal exit talks under Article 50 once it is triggered.

    UK challengers weather Brexit storm

    Despite profit warnings from Bank of England earlier this month, the UK’s challenger banks have reported steady profits for the second quarter of 2016 (Telegraph, online only). Chief executive Steve Pateman of challenger bank Shawbrook told the FT (£, p18) “It [Brexit] doesn’t change our strategy at all…I think it would be an entirely wrong decision [to rein lending in],” he added. Craig Donaldson, chief executive of Metro, added that he had not seen a change in customer behaviour since the UK’s EU referendum, nor any impact on business flows. The news follows a report from the Bank earlier this month which suggested challenger banks were less shielded from downturns in the commercial property sector, reports City AM.

27th Jul 2016 Back to top
  • BBA Brief – 27 July 2016

    BBA High Street Banking statistics published

    The Guardian (online only) reports that the BBA’s High Street Banking data for June showed that business borrowing dropped for the first time in 2016 last month, as UK companies delayed investment decisions until after the European Union referendum. Borrowing by British companies outside the financial sectors fell by £526 million in June, while house purchase approvals fell from 41,842 to 40,103. Rebecca Harding, Chief Economist at the BBA, said: “Overall, business confidence was clearly fragile in anticipation of the outcome of the vote, but these results are not a verdict on the health of the economy post-Brexit. We won’t start to see that data come through until the autumn and any trends before then should not be over-interpreted” (Telegraph, p30). The data was also covered by the Times (£, p43), City AM (p9), i (p41) and Evening Standard (p32).

    FCA warns over long-term credit card debt

    The FT (£, p2) reports that the Financial Conduct Authority has criticised credit card providers for making long-term profits from consumers who make minimum repayments rather than clearing their balances. UK borrowers now have £63 billion of credit card debt – up from £61 billion in 2014 – while almost one in nine card holders have balances it would take them more than a decade to repay. Joanna Elson, Chief Executive of the Money Advice Trust, called for more to be done to help indebted individuals (BBC News). Richard Koch, of the UK Cards Association, added: “The credit card industry will continue to engage constructively with the regulator in the coming months to ensure that effective and proportionate remedies are developed for these customers.”

    Negative interest rates could hit businesses

    The FT (£, p2) reports that a number of banks have inserted clauses into terms and conditions that would allow them to impose charges on businesses for keeping cash on deposit if interest rates fall into negative territory. Analyst Ian Gordon said: “If a bank chose to pay negative rates and lost a slug of deposits, the bank in question wouldn’t particularly care – what they’re currently looking at is surplus deposits which they cannot deploy in new loans because there is a lack of demand” (Telegraph, p27). The Federation of Small Businesses said the idea of negative rates is “deeply concerning.”