The Government is committed to increasing competition in banking to ensure banks have to work hard to offer the best possible products and services to their customers. A key part of that is making the process for customers switching their current accounts as easy and as effective as possible, to ensure customers are able to hold their banks to account by voting with their feet.
The Government has already undertaken a lot of work to improve the process for customers switching their current accounts, including helping to deliver the Current Account Switch Service to enable customers to switch banks simply, quickly and reliably, and delivering midata, to enable customers to compare which bank is best for them based on how they use their current account.
As part of its retail banking market investigation, the Competition and Markets Authority (CMA) is considering what additional improvements could be made to the process of customers switching current accounts, including requiring banks to make historical transaction data available and making it easier for customers to switch their overdraft when they move banks. The CMA is also considering other additional measures designed to support overdraft users.
The Government welcomes the CMA’s investigation, and stands ready to take action as necessary once it publishes its final report in the summer.