UK Finance, the prominent banking trade association, has issued a call to action for the next government to implement policies that will stimulate economic growth and promote financial participation.
Their Financial Services Statement sets out key initiatives aimed at tackling critical issues such as financial education, fraud prevention, and supporting net-zero investments.
One of the key suggestions from UK Finance is to integrate financial education into school curricula. According to their findings, 80 percent of voters support improving students' financial education. The trade body believes that instilling financial literacy at an early age will lead to building a more enlightened and financially empowered society.
Furthermore, the UK Treasury is calling for the establishment of a cross-government taskforce dedicated to tackling financial irregularities. This initiative aims to provide a coordinated approach to addressing financial crimes and mitigating their effects, and ensuring stronger protection for consumers and businesses alike.
In addressing the widespread issue of fraud, the UK Treasury called on technology, social media and telecommunications companies to share the burden of combating economic crime. This comes after the introduction of mandatory payment rules by the Payments Supervision Authority in cases of authorized payment fraud. The association believes that these industries should contribute to the costs associated with fraud prevention and reimbursement.
In addition, the UK Treasury is pushing for legislative changes to ensure information held by Companies House is fully verified and reliable. The urgency of this demand has been underscored by recent events where 800 fraudulent forms were submitted, affecting 190 companies, including members of UK Finance.
In line with the UK's environmental goals, the trade body is calling for clearer plans regarding the transition to net zero. They asked for a comprehensive roadmap for investments in key sectors and an expansion of the UK Infrastructure Bank's authority to finance net zero projects. This step is considered vital to secure sustainable economic growth and achieve environmental goals.
To promote economic growth, the UK Treasury proposed appointing a government representative for competitiveness. This role will include reviewing and possibly reducing the regulatory burden on the financial services sector. In addition, the trade body is supporting the creation of a new digital government backed by the Treasury, aimed at modernizing the financial infrastructure.
David Postings, CEO of the British Finance Corporation, expressed his hope that by setting these policy priorities, the sector can effectively collaborate with government to promote a prosperous society. “By working in partnership with government, we can help build a better society for everyone,” Postings said.
As the UK approaches the next election, the Treasury's comprehensive policy agenda highlights key areas where government intervention and collaboration with the financial sector can lead to significant positive outcomes for the economy and society.