Options for Banking Reform

Home » Blog » Options for Banking… » Page 2

Bank of England: UK banks to lose their status as ‘gatekeepers’ to the payment system

Gatekeeper to the payments system

In a significant breakthrough, the Bank of England (BoE) has just announced it will be adopting a policy change that Positive Money has been arguing for over the last 2 years. The BoE will finally allow non-bank ‘payment service providers’ (PSPs) to hold accounts at the BoE, so that they can compete with existing banks to provide current (checking) accounts. This will break the stranglehold that large UK banks have over the provision of payment accounts - and represents a step towards further changes that would limit the ability of banks to create money.

MarkBut BenAt least there will be more choice of conditions for a loan. A client can approach a PSP who has an affinity for the clients loan. In that they will take a genuine interest in the success of the loan, producing a better service or product that the loan was for.YoursMark ValenteGet Outlook for...

July 2016

Ben DysonNo, they currently have to back their customers' funds with deposits at a commercial bank, and aren't allowed to hold loans or other risky assets on their balance sheet. So unlike they can't create new money by creating new deposits backed by new loans. ...

July 2016

Ben DysonCarney said that they would make the accounts available 'over time', probably as they redesign their RTGS settlement system. So unfortunately I don't think the accounts will be available within the next 12 months, but it's certainly worth contacting them now to express an interest. Ben...

July 2016
latest comments - view discussion

ruminerYellen wants to give the impression that she knows what she's talking about, yet all her words amount to a lot of repetition, revealing little knowledge. I think her role is an evolution of the role of a witch-doctor....

July 2016

CorneliusFBSounds like "extreme" means never....

June 2016

P_a_u_lDon't get the taboo of mixing fiscal and monetary policy. Its pretty obvious what the dire needs are and, rather than indiscriminate "helicopter" money, wouldn't make sense to inject that money where society needs it most? It will always filter and multiply its way to the general public anyway. L...

June 2016
latest comments - view discussion

James MurrayYup Rollo, Can't disagree with much of what you say. All we need is convince about 15 million others and we are quids in. Jim Murray...

May 2016

Rollo10Jim, there's no such thing as 'cheap food' as they are now flooding the market with GMO's, Where 'protection' of the farmers comes from I don't know, as we have lost over half our dairy farms and over a third of Agri. The CAP only benefits landowners, who don't have to be farmers, not the farmers wh...

May 2016

James MurrayRolloSounds like you an Outer. But you right that the single market can be a poisoned chalice. Yes there are no trade barriers and tariffs inside the 28 countries. However, the same have been erected around the outside EU single market border of the collection of those countries.This means that we c...

May 2016
latest comments - view discussion

New Report: Why State-Issued Money is Not Debt

Screenshot 2016-04-11 16.59.58

Positive Money advocates a shift away from the current ‘debt-based’ monetary system, in which almost all money is created by commercial banks when they make loans, to a ‘sovereign money’ system in which only the central bank is able to issue new money. In the past, we’ve described sovereign money as ‘debt-free money’, because it is spent into the economy without any household or firm taking on further debt.

Economic ReformJohn Hermann:-- I would not call it equity, in my view this is the wrong terminology. Treasury's accounts are uniquely special, and unlike the accounts of commercial banks with the central bank....

April 2016

Economic ReformJohn Hermann:-- It's a deposit of bank credit money....

April 2016

Vince Richardsonthe ECB has "Resources" eh?..I do like that one,typical central bank speak....

April 2016
latest comments - view discussion

Mervyn King’s “Pawnbroker for All Seasons” Explained

Mervyn King The end of alchemy pawnbroker for all seasons

Lord Mervyn King, who was Governor of the Bank of England from 2003-2013 and saw the financial crisis play out from the centre of the action, has just released his new book, The End of Alchemy. Our short review of the book is available here. This article explains his proposal for the Bank of England to become a "Pawnbroker for All Seasons".

Roger Glyndwr LewisI would take King over Carney any day of the week. Central Banking has returned full circle to the days of Josiah Stamp. I have recently completed an epic poem , demi-epic maybe 2500 words of plain verse. http://letthemconfectsweeterli......

March 2016

Marco SabaI agree with Ben....

March 2016

Vince RichardsonIsn't this what the ECB has been doing with its LTROs?Far as I see it it is just more tiding banks over till things pick up routine.Banks get far too much preferential treatment as it is,and the economy still does not pick up.Once we have got to this stage the damage has been done,the economy is on ...

March 2016
latest comments - view discussion

No Announcement posts

back to top