19 Dec '11, 10am

A bank break-up to revive the high street | Tony Greenham

A bank break-up to revive the high street | Tony Greenham

Our focus should move away from the City and into town centres. Tweet Originally published in The Sunday Times. The announcement last week that the Co-operative Bank is the preferred bidder for 632 branches of Lloyds is welcome news. It heralds a challenge to the banking status quo on the high street. But will the movement from a big five to a big six among our banks deliver the transformation of high-street banking that our economy needs and customers deserve? The answer is no. Not when you compare our banking industry with those of our competitors overseas. The highly concentrated British banking market stands out like a sore thumb internationally. Not because we have large global banks — others have those too — but because a tier of domestic banking is completely absent from Britain: local banks. The idea that smaller local banks might provide the economic bedrock for b...

Full article: http://www.neweconomics.org/blog/2011/12/19/a-bank-break-...

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