Yet another "watchdog" fails to live up to its description. With the Pensions Regulator found wanting "after the crises at BHS and Carillion", the Financial Conduct Authority chickens out on setting a "cap on overdraft fees amid fears of a court challenge by the banks" (Dismay as watchdog vetoes cap on cost of overdraft provision, 01/06/18). If the TPR can be criticised for its "feeble response" to companies underfunding pensions schemes whilst still paying out dividends, and "new leadership" suggested by parliamentary committees, surely it is time for the Commons business select committee to summon the chief executive of the FCA, Andrew Bailey, to explain himself ((Pensions chief resigns after MPs` criticism over Carillion, 01/06/18)?
If price caps can be "considered" for rent-to-own schemes, but not for banks which do exactly the same ripping-off of their customers, Bailey certainly has questions to answer. If 7 and 8% maximum rates can work in some American states, as Patrick Collinson says, they can be effective here (US-style limit on charges is the answer, 01/06/18)!
A grilling by Rachel Reeves and the rest of her committee would hopefully be rather a different experience for Bailey than cosying up with John Humphrys on the Today programme!
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