Archive for January, 2012

Some of East Anglia’s top bankers have admitted that they “got it wrong” when they met with the Federation for Small Businesses and local MPs at Mundford on 13 January 2012.

Several spoke of hiring ‘relationship managers’ after hearing how bad their banks’ relationships with their business customers had become.  Several appeared genuinely shocked at what they heard.

One businessman asked why the most experienced managers dealt with big business, leaving the less experienced to handle the new and small businesses.

FSB Regional Treasurer, Fowler de Pledge’s own Peter Martin, said he had encountered a business account overdraft being charged over 1,000 per cent interest and other spoke of terms and conditions being changed without warning or notification and of terms being cut without warning – in one case from 20 years to 3.

After a show of hands confirmed that more than half those present felt they had a poor relationship with their bank, James Howlett, HSBC’s area commercial director said “I’m genuinely sorry about that. Without customers, we’ve got nothing.”

http://www.buryfreepress.co.uk/news/business-news/bankers_pledge_to_bring_back_the_personal_touch_1_3436814

On January 24 2012, Barclays Beccles Branch appointed a new business manager to cover the Beccles, Bungay and Long Stratton area.

http://www.eadt.co.uk/business/waveney_valley_barclays_appoints_business_manager_1_1175644

On 13 January 2012, nearly 100 people gathered for a half-day summit on the banking situation in the East of England.  10 MPs and representatives from the top five banks (HSBC, Royal Bank of Scotland, Barclays, Lloyds TSB and Santander) met to discuss a variety of issues.  These included interest rates being too high, customer service standards being too low, the summary termination of pre-existing and well-run small business loans and overdrafts and recent increases in bank charges.

The banking forum took place at Mundford, near Thetford, and was jointly chaired by Elizabeth Truss, MP for South West Norfolk, and David Ruffley, MP for Bury St Edmunds.

Fowler de Pledge’s own Peter Martin is Regional Treasurer of the Federation of Small Businesses.  He spoke of small businesses being squeezed until the pips squeaked and a mentality of “the computer says no”.

Treasury Minister, Chloe Smith, MP for North Norwich, said that the Government was trying to help small businesses with the rollout of its loan guarantee scheme, as well as through its new ‘business finance partnerships’, which cut out the banks completely and allow funds to pass directly from government to the businesses that need them.

The East Anglian Daily Times reported on this event, and the full story can be viewed here.

http://www.eadt.co.uk/business/banks_urged_to_ease_squeeze_on_firms_1_1177414

The Eastern Daily Press also covered the event, which also appeared in the Dereham Times; Eastern Daily Press; Norwich Evening News; Thetford and Brandon Times – and their report can be found here.  Although the photo used is the same, the words are different!  Honest!

http://www.edp24.co.uk/business/plea_to_banks_at_federation_of_small_businesses_summit_in_mundford_1_1177405

Happy New Year and welcome to 2012.

This blog has been sadly neglected in recent times, for which we apologise, but a new year is a good excuse for a new start and so we shall begin afresh. 

If you have any queries or comments, please do not hesitate to contact us at law@fdp.co.uk.