WIREDGOV

The Scottish Government recently published proposals that should form the foundation of a healthy, diverse and competitive banking sector in Scotland which puts the needs of its customers first. 

Sustainable, Responsible Banking: A strategy for Scotland, developed in consultation with industry, consumer groups and others, outlines a range of measures that can be taken in the current environment to encourage diversity in the sector and enhance professional standards.

Measures include:

• Developing options to further promote community banking and other financial institutions to provide greater diversity in banking products and services to meet the needs of  a wide range of customers
• Working with the Chartered Banker Institute and the banks in Scotland to ensure that banking is recognised as a profession and that bankers should be appropriately qualified and should adhere to professional standards
• Encouraging the banks to work with public agencies, to enhance the quality of SME loan proposals

The Scottish Government will also continue to work closely with the banks to deliver improved access to finance for Scottish SMEs and it will examine the business case for the creation of a Scottish business development bank. 

Welcoming the Banking Strategy Finance Secretary John Swinney said:

“This strategy is the first of its kind for banking in Scotland.  Banking plays a core role in supporting our economy, and our society and has a major part to play in securing our economic recovery. 

“This strategy looks at what more we can do right now to provide diversity, to develop community banking, to support credit unions and help banks meet the commitments they have made to improve conduct, support small and medium sized businesses and focus on customer service.

“There are a number of further actions that the Scottish Government can take in support of those efforts.  This strategy provides a framework for us to do that and to work closely with the banks and others to restore the traditional principles of Scottish banking based on probity, prudence and stewardship.

“This strategy is focussed on improving our economic growth now and ensuring people have access to the financial services they need to support households and communities across the country. 

“With independence the Scottish Government will be able to use additional powers to further promote economic growth and to support households. The Fiscal Commission Working Group have set out a range of proposals and the Scottish Government will be setting out our response in due course.”