Banks must give customers better deal, MP says

19 February 2004
Banks must improve the competitiveness of their consumer deal, the chair of the Treasury Select Committee has said.

John McFall's comments come as the Royal Bank of Scotland announces record annual profits of £6.2 billion.

The announcement has sparked controversy that the main banks are gaining too much on the back of consumer debt, and has raised questions about the level of competition within the sector.

Speaking on BBC One's "Reporting Scotland", Mr McFall stated: "When banks tell us that they are competitive, they may be competitive with each other in the sense that there are many there, but the consumer is not at the heart of the equation."

The British Bankers' Association has defended the level of RSB's profits, insisting that UK banks consistently offer excellent service and competitive deals to their customers.