budget
Banks Fintech

SMEs Support Challengers Shaking Up the Banking Industry

Following Tide’s budget submission to HM Treasury in September, new figures have been published from a survey of SMEs, indicating that they almost unanimously support challenger banking providers being able to apply for the RBS Alternative Remedies Package.

The package, offered by RBS as a means of boosting competition following the receipt of state aid and failed divestment of Williams & Glyn, is partly open to challenger banking providers, but a technical definition has resulted in over 90% of the package being set aside for banks alone.

In a survey of Tide’s SME member community, the banking service asked if they would support Tide’s eligibility to apply for the a greater portion of the RBS remedy funds. They responded overwhelmingly in support of the motion, with 97% voting in favour.

Oliver Prill, CEO of Tide, says: “Since our budget submission request to open up the RBS Alternatives Remedies Scheme to true competition, we have had strong support. There is general disbelief that the government would support locking out non-banks to protect the big banks. 97% of our surveyed SME members want the government to change this policy.”

Tide believes the minor update to the eligibility criteria required would be in keeping with the intentions of the UK government and EU Commission, and will allow the competition for funds to proceed within the proposed timeline.

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