31 August 2012
Responding to the Treasury Committee’s call for RBS and Lloyds to remove the restrictions on their basic bank account customers’ ability to access cash machines run by other banks, Adam Phillips, Chair of the Financial Services Consumer Panel, commented:
“The Panel urges RBS and Lloyds TSB to react quickly to lift restrictions which will stop many basic bank account customers accessing their cash and which threaten the continued existence of substantial parts of the ATM network.
“The restriction imposed by these state owned banks is an attack on the most vulnerable members of society with far reaching consequences. The Committee’s report shows that not only does restricting access to ATMs affect basic bank account customers, it could also make almost 4,000 at-risk ATMs economically unviable. The Committee’s recommendation would reverse a worrying trend which could see open and free ATM access eventually withdrawn for everyone. If this were to happen, it would increase costs for consumers, reduce choice and undermine competition.”
Notes to editors
- The Consumer Panel is a statutory body under the Financial Services and Markets Act 2000 and was initially established by the Financial Services Authority in December 1998. The Panel advises the FSA on the interests and concerns of consumers and reports on the FSA's performance in meeting its objectives.
- The emphasis of the Panel's work is on activities that are regulated by the FSA, although it may also look at the impact on consumers of activities outside but related to the FSA's remit. More information about the Panel's work
- Panel members are appointed to serve a maximum of two terms of three years.