Banks: Internet Transfers of Cash

Baroness Bowles of Berkhamsted Excerpts

Thursday 9th July 2020 Lords Chamber

[Baroness Penn]

My Lords, in respect of CBILS loans and other payments, we are not aware of any delays in the payment systems causing problems for businesses. More broadly, we are looking at the rapid technology developments in this area and we are working with the Financial Policy Committee on a payment landscape review to look at the infrastructure and regulation, to ensure that this is keeping pace with the development of technology. We will be publishing a call for evidence on that matter shortly.

[Baroness Bowles of Berkhamsted (LD) [V]]

Barclays Bank now has adverts urging people to use card payments rather than internet transfers, presumably to avoid fraud, but does it not also mean that they profit from an interchange fee at the expense of retailers? Is there any way that the system is not biased against SMEs?

[Baroness Penn]

I am not aware of the adverts that the noble Baroness refers to. We expect all businesses to treat SMEs fairly and proportionately in their transactions.