The Treasury Committee is calling on the Financial Conduct Authority to force banks to be more transparent over decisions to debank small businesses. It comes as more than 140,000 small businesses have been de-banked by major lenders in the past year, often immediately and with no explanation. MPs on the Treasury Committee have condemned the unfair debanking of legitimate small businesses. Small business owners left in the dark over debankingThe Federation for Small Businesses said the FCA should demand more information from banks to establish the main underlying reasons for closures. 'We're pleased that the Treasury Committee's report has acknowledged the power imbalance between a small business customer and its bank.

Source: Daily Mail May 08, 2024 19:33 UTC