London: Britain’s Financial Conduct Authority (FCA) said on Thursday it will review competition in investment banking and corporate banking services, citing “unanswered questions about potential conflicts of interest and value for money in this market”. The watchdog said that limited clarity over price and quality of services may make it difficult for customers to see if they were getting value for money. Bundling and cross-selling of services could also hinder competition from new entrants, according to the FCA. The study adds to ongoing government pressure for more competition in banking. Personal accounts and small business banking is already the subject to a full investigation by Britain’s main antitrust watchdog, the Competition and Markets Authority (CMA). The FCA said its market study was “appropriate” as “the benefit from improvements in the way competition works could be high”.
UK watchdog to study competition in investment banking
Watchdog says ‘bundled’ services may inhibit competition