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Banking Bill

Amendment 105A 105A: After Clause 62, insert the following new Clause— ““Competition and consumer issues (1) This section applies when evocation of any of the stabilisation options under sections 11, 12 or 13 results in the resultant company being the largest provider in any of the markets defined in subsection (6) and accounting for 25% or more of that market; for the purposes of this section such a provider is described as ““resultant dominant company””. (2) Where subsection (1) applies and continues to apply for eighteen months from the implementation of that process the relevant market shall be referred automatically to the Office of Fair Trading for it to undertake an investigation as to whether effective competition operates in that market and if not whether the market operates in the consumer and public interest. (3) Where subsection (1) applies the resultant dominant company shall be required to take immediate steps to establish within its structure— (a) a consumer panel, and (b) a small business panel. The Board of the resultant dominant company shall be required to consult these panels on overall policy and significant changes to that policy. (4) Appointments to panels established under subsection (3) shall be made in consultation with organisations representing the interests of consumers and small businesses respectively, and where the resultant dominant company has been created under sections 12 or 13 such appointments shall be made by the Secretary of State according to the provisions for public appointments. (5) The Financial Services Agency may as appropriate make regulations to give effect to subsections (3) and (4). (6) The markets referred to in subsection (1) shall be in— (a) retail banking services for individuals; (b) mortgage provision for domestic housing; (c) advancing of credit for small businesses; (d) banking services for small businesses; (e) mortgage provision for small businesses. (7) The Secretary of State or the Financial Services Authority shall have the power to propose variation of the markets defined in subsection (6) subject to the agreement of both Houses of Parliament.””