Source · Select Committees · Treasury Committee
Recommendation 22
22
Deferred
Unfair use of personal guarantees constrains growth and investment for SMEs.
Conclusion
Unfair use of personal guarantees has the potential to constrain growth and investment for SMEs, particularly the smallest businesses. We welcome HM Treasury’s review on this matter, and look forward to seeing what it will do to ease the burden on the smallest businesses. (Paragraph 113) SME Finance 39
Government Response Summary
The government completely changed the subject, welcoming the FCA's work on bank account rejections and closures and generally discussing access to banking services, instead of addressing the recommendation about personal guarantees for SMEs.
Government Response
Deferred
HM Government
Deferred
23. The Government welcomes the FCA’s work to date to better understand why banks might reject or close bank accounts. Where the FCA has found areas where firms need to improve customer outcomes, the Government expects firms to consider the FCA’s findings and next steps. We also value any evidence from business relating to their accessing banking services as we continue to explore the issues relating to account access, working with the FCA.