Asked by: Christian Matheson (Independent - City of Chester)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will take steps to ensure that banks maintain records for longer than five years in response to possible legal actions on the mis-selling of (a) tailored business loans and (b) other financial products to small businesses.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
Oversight of banks’ record-keeping processes for regulated activities, certain related activities, and other ancillary services specifically covered under EU law is the responsibility of the operationally independent Financial Conduct Authority.
For other activities, such as traditional commercial lending, including Tailored Business Loans, record keeping processes are not subject to FCA requirements and are therefore legal and commercial decisions for banks.