30 December, 2008

It has been revealed that the government should take the chance to make sure that consumer to be put at the heart of UK banks business model firstly.

A declaration from the group came as it commenced a major new campaign to reform the UK financial services industry. According to a research conducted by the firm has discovered that for several Britons, there is little faith that the present organizational structure of the banking industry can prevent another slump from taking place. When questioned, more than 81 per cent of the 1,001 adults questioned by the group said that they thought reform is essential to avoid the current monetary chaos from resurging in the future.

Indeed, more than 67 per cent of respondents indicate that they blame the banks directly for the current economic reduction and the decreasing accessibility of UK loans. Meanwhile, 73 per cent of people said that they had personally been exposed to banks and other UK loan providers offering money in a careless way.

According to a new campaign that is urging the government to do more to make sure that consumers are protected from unstable lending practices and other similar difficulties. In a letter to Chancellor of the Exchequer Alistair Darling, the group demanded that banks are required to do more to protect their customers from current corporate failures. Among the requests made by the watchdog was that all of the UK loans institution which have received public funding as part of the recent bailout should be needed to approve on slashes to the base rate of interest quickly.

The group also pointed out that there should be an internal review into retail banking practices to ensure that the interests of UK loans on customers are integral to the operations of all monetary institutions.

He also added that several banks have an adverse track record of making sure that customer services and maintenance standards are up to scratch.

The declaration from a raft of measures framed to add buoyancy to the banking industry. This was matched by a reduction in the base rate of interest passed by the Bank of England's fiscal policy committee, which reduced rates by 50 basis points last month. Such a move may soon be followed by a drop in mortgage and personal loan interest rates.