WIREDGOV

The CBI commented on reports that the Labour Party is considering a cap on the market share of individual high street banks.

John Cridland, CBI Director-General, said:

“A vibrant, competitive banking sector is critical to the recovery and for the long-term wellbeing of our economy.

“An arbitrary cap on structure is the wrong way to boost choice in banking. A better approach would be to target barriers to market entry and growth, such as improving access to credit data.

“The focus should be on ensuring that businesses and consumers can access the finance they need, not a debate on structures, which is the responsibility of the competition authority not politicians.”

On RBS and bonuses, Mr Cridland said:

“The judgement on bonuses for RBS must be whether the leadership team can continue to motivate and attract the specialist talent required for the bank to do its job effectively as a lender to the economy.”