Neil Parish, MP for Tiverton and Honiton, raises the issues of small businesses struggling to access finance during the consideration of Lords Amendments to the Financial Services (Banking Reform) Bill.
Neil Parish: Does the Minister agree that it is essential that companies can trust their banks in order that they can do business? We must get the legislation right so that companies can again trust their banks. Companies must feel able to give banks confidential information in the expectation that it will remain confidential. Companies need to be able to access finance to compete in business and create employment. The banks are holding back our businesses.
Sajid Javid (Financial Secretary to the Treasury): I agree wholeheartedly with my hon. Friend, and I hope that he agrees that all the effort that has gone into setting up this new regime—in particular the senior managers regime and the certification regime—is a huge step forward in achieving that aim.
The Government are committed to bringing branches of foreign banks and investment firms that operate in London into the regime. At the same time, such a shift may be disproportionate for some small branches with few real decision makers, and the Government will consider the case for not extending the regime to such branches in due course.
Hansard source (Citation: HC Deb, 11 December 2013, c250)