SME banking undertakings review
The CMA reviewed the behavioural undertakings given by 9 banks in relation to small and medium-sized enterprise (SME) banking in 2002 and 2003.
|August 2016||Final decision and notices of intention to release certain undertakings published|
|17 May 2016||Provisional decision published|
|End July 2015||Deadline for all parties’ submissions before provisional decision on review of undertaking(s) is published|
|6 November 2014||Publication of CMA board decision to review 2002 SME undertakings|
Review of undertakings
Date of referral: 06.11.2014
- Notice of release of certain of the SME undertakings (transitional) (14.10.16)
- Notice of release of certain of the SME undertakings (switching and behavioural) (14.10.16)
- Notice of intention to release certain of the undertakings (transitional) (10.8.16)
- Notice of intention to release certain of the undertakings (switching and behavioural) (10.8.16)
- Final decision (9.8.16)
Responses to provisional decision
Further responses to this consultation have been published alongside responses to the retail banking market investigation provisional decision on remedies on the retail banking case page. Individual responses to the NI PCA Order can be found on its case page.
- Provisional decision (17.5.16)
NI PCA Banking Market Investigation Order review
28 August 2015: The CMA has decided to open a review into the Northern Ireland Personal Current Account Banking Market Investigation Order 2008.
- Consultation on whether to review (20.5.15)
Review of undertakings group appointed
12 November 2014: The CMA has appointed the group for the review of undertakings.
Press release: Personal current account and small business banking face full competition investigation (06.11.14)
The CMA is also investigating the supply of personal current accounts (PCAs) and of banking services to small and medium-sized enterprises (SMEs).
This review will be conducted alongside the market investigation by a group composed of the same panel members as those conducting the market investigation.
Decision to undertake review of undertakings
6 November 2014: Following a consultation, the CMA has decided to undertake a formal review of the SME banking behavioural undertakings given by 9 1 clearing banks in 2002 and 2003. The review will be carried out alongside the retail banking market investigation.
- Press release: Personal current account and small business banking face full competition investigation (06.11.14)
- Statement about the review of the SME banking behavioural undertakings (pdf, 156 Kb) (06.11.14)
- Review of SME banking behavioural undertakings consultation (06.11.14)
Compliance with the SME banking behavioural undertakings
22 October 2014: After receiving internal audit reports from each of the banks subject to the undertakings and carefully considering these, the CMA issued First Trust Bank and HSBC with written directions. The directions will help ensure they comply with existing obligations relating to banking services for SMEs.
- Press release: CMA issues 2 banks with directions on SME ‘bundling’ undertakings (22.10.14)
- SME banking behavioural undertakings of 2002: Report on compliance (22.10.14)
- Directions issued to First Trust Bank and HSBC Bank (22.10.14)
Core documents and news releases
- Review of SME banking undertakings consultation (Chapter 11 of the SME banking market study report) (18.07.14)
- Press release: Personal current accounts and small business banking not working well for customers (18.07.14)
- OFT letter to banks to assess overall levels of compliance (05.12.13)
- SME banking undertakings (2002 to 2003)
Nine banks originally provided undertakings in 2002 and 2003. These were: AIB Group (UK) plc (known as First Trust Bank); Bank of Ireland; Barclays Bank plc; Clydesdale Bank PLC; HBOS plc (now part of Lloyds Banking Group); HSBC Bank plc; Lloyds TSB Bank plc (now part of Lloyds Banking Group); Northern Bank Limited (now known as Danske Bank); and The Royal Bank of Scotland Group plc (which also includes Ulster Bank Ltd in Northern Ireland). The 9 banks became 8 following the acquisition of HBOS plc by Lloyds TSB plc in 2009. ↩
Published: 20 May 2015
Updated: 14 October 2016
Opened: 6 November 2014
Closed: 14 October 2016
- Notices of release of certain of the SME undertakings published.
- Notices of intention to release certain undertakings published.
- Final decision published.
- Responses to provisional decision published.
- Provisional decision published.
- Timetable updated.
- Case timetable updated.
- Invitation to comment on Northern Ireland PCA Banking Market Investigation Order 2008 issued.