Competition Commission investigate bank charges

The Competition Commission has today arrived in Belfast to begin an investigation into the high bank charges imposed on personal account holders by Northern Ireland banks.

The Big Four Banks in the province; Ulster Bank, Northern Bank, Bank of Ireland and First Trust are to be investigated following the submission of a 'super-complaint' to the Office of Fair Trading by the Consumer Council and Which magazine.

Steve Costello, Chairman of the Consumer Council said: “The Consumer Council has been to London twice to meet with the Competition Commission on this issue. This is the first time that they have visited Belfast to meet with other interested parties to gain their views.

“The Consumer Council submitted a super-complaint in order to bring change to the market. We are starting to see that change happen and there has been more movement in market in the past year than the past 30 years, but much more is needed. The Consumer Council calls on all banks here to offer their customers a decent rate of interest and scrap unfair transaction charges.”

This morning, the Competition Commission was to hold meetings with community groups, followed by meetings this afternoon with political parties and local authorities at Stormont.

During these discussions, members of the Commission aimed to find out answers to questions such as what draws customers to a particular bank, why do people switch banks, and do they fully understand their customer terms and conditions.

Inquiry Chairman Christopher Clarke, who is accompanied by three of his colleagues said: "Our investigation is looking at whether competition is working effectively in the market for personal accounts for Northern Ireland and whether customers are receiving banking services on competitive terms.

We've already received evidence from banks and other interested parties."

Mr Clarke concluded that this was an opportunity for the Commission to hear at first hand from groups who represent consumers in Northern Ireland and enable them to raise any concerns that they have with the inquiry.

(EF/SP)