The Competition and Markets Authority could have been far bolder in its inquiry – roll on the next one
Inquiries into the banking sector have arrived at a rate of about one a year for the past couple of decades, but has any been as feeble as this summer’s offering from the Competition and Markets Authority? That was the one that concluded that a few tweaks, like better price comparison websites and a voluntary cap on overdraft charges, might succeed where stiffer remedies had failed in the past to boost competition.
Andrew Tyrie, chair of the Treasury select committee, who knows a thing or two about banking inquiries (he’s conducted a couple himself), is not the only person to think the CMA “dropped the catch”, as he put it. But Tuesday’s questioning-cum-torture of Alasdair Smith, who chaired the CMA’s investigation, was exquisitely done.
Related: Competition watchdog criticised by MPs over bank reform