21 December 2011
Commenting on the report into the future of Cheque Guarantee Cards published today by the Payments Council, the Chairman of the Treasury Select Committee, Andrew Tyrie MP, said:
“Any decision to reduce the use and availability of cheques would be bad news for some of the most vulnerable members of our society.
“It would also impact upon the level of trade for thousands of small businesses.
“The Treasury Select Committee will be looking at the Payments Council’s report in detail and may ask for them to come and give evidence in the New Year.
“The Payments Council must do more to ensure that banks do not phase out cheques on the quiet.
“The Chancellor’s announcement to the House on Monday that the Payments Council will be brought within the formal system of financial regulation is to be warmly welcomed.
“At present the Payments Council is an industry-dominated body with little effective accountability.
“ This is unacceptable.
“The decision to set a target date for the abolition of cheques by 2018 reflected this lack of accountability.
“Only through the work of the Treasury Select Committee did we manage to secure a stay of execution for paper banking in the form of cheques.
“People want to keep cheques. They must be allowed to do so.”