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MPs have raised concerns over the treatment of small businesses by major banks after figures showed more than 140,000 accounts were shut down by lenders over the past year.

As part of an inquiry into access to finance, the Treasury Committee gathered information from eight banks, including the so-called big four, on how many business accounts had been shut down.

The data showed that out of about 5.3 million accounts held by small and medium-sized enterprises (SMEs), 141,620 were forcibly closed by banks – 2.7% of the total.

The banks – Barclays, HSBC, TSB, Lloyds, Santander, NatWest, Metro Bank and Handelsbanken – gave a variety of reasons.

Lloyds and NatWest were among those who cited concerns about financial crime and fraud while HSBC UK said that about two thirds of the more than 26,000 accounts it closed in the 12 months to the end of October were related to customers’ “financial viability”, or the accounts being dormant.

But the committee said it was concerned that banks were giving a range of reasons for readily closing down business accounts with little or no notice.

It highlighted that just three banks blamed “risk appetite” as a reason behind forced closures, with about 4,200 cases listed.

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Committee chair Harriett Baldwin said: “The fact that only three lenders included ‘risk appetite’ in their criteria indicates these discussions may not be systematically recorded – leaving questions over whether decisions on the debanking of certain businesses, based on what banks perceive as a risk, are happening informally.”

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Harriett Baldwin. File pic

“We can see from these figures that thousands of small businesses fall foul of their bank’s risk appetite definition, leaving them without access to a bank account.

“I hope publishing this data can aid scrutiny of the decisions taken by banks and help to ensure legitimate businesses are not being unfairly treated.”

Martin McTague, national chair of the Federation of Small Businesses responded: “The number of small firms affected by debanking is high, and underlines the need for the FCA to shed light on this issue, by requiring banks to publish quarterly statistics.

“These should include the reasons for the bank’s decision to close an account, and demographic information on affected businesses, to keep tabs on whether certain groups are being disproportionately affected.

“Having your bank account closed suddenly – with little to no notice – is immensely disruptive to a small firm. You can’t pay staff or suppliers, while incoming funds will be delayed, putting pressure on cashflow and your ability to continue trading at all.

“Where possible, banks should give a reasonable amount of notice that they intend to close an account, and should share the reasons behind the decision, in case there has been a misunderstanding which the customer can clear up.”

The figures were published by the committee ahead of evidence, due later today, from Economic Secretary to the Treasury Bim Afolami.

He is expected to face questions on whether small businesses are being treated fairly by banks.

A separate report by the All-Party Parliamentary Group on Fair Business Banking, released recently, cast doubts on whether banks could be wrongly labelling customer accounts as a fraud risk to cover up concerns about costs and their reputation.

It found banks are more driven by profit and reputation, rather than tackling financial crime, when they decide to debank a customer.

The scrutiny by MPs is taking place against a backdrop of wider concern over the treatment of individuals.

The issue shot to prominence through the Nigel Farage debanking row last year that, ultimately, cost the the-then NatWest chief executive her job.

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November: Farage to seek millions in damages

A spokeswoman for the FCA said earlier this month: “Under the law, banks and building societies can make commercial decisions about which customers they serve.

“We have said before that it might be time to look at whether all individuals, businesses and organisations should have the right to an account but it would be for the government and parliament to legislate for that.

“Within our remit, we are clear that banks should treat individual customers fairly and act proportionately to tackle financial crime. If we find firms are not doing that, we will act.”

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Unions demand no retreat on workers’ rights after Rayner quits

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Unions demand no retreat on workers' rights after Rayner quits

Union leaders are demanding no eleventh-hour retreat by the government on workers’ rights now their champion Angela Rayner is no longer in the cabinet.

As delegates gather in Brighton for the TUC’s annual conference, the movement’s leadership is claiming four million people – one in eight of the UK workforce – are in “pervasive” insecure work.

And union bosses are urging the government to stand firm and reject attempts by Tories and Liberal Democrats to weaken the former deputy prime minister’s Employment Rights Bill in its final stages in parliament.

The TUC’s general secretary, Paul Nowak, has claimed Ms Rayner, who resigned on Friday over unpaid stamp duty on a seaside flat, was a victim of misogyny and was being hounded out by right-wing politicians and right-wing media.

Paul Nowak believes Angela Rayner was a victim of misogyny
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Paul Nowak believes Angela Rayner was a victim of misogyny


As well as Ms Rayner leaving the government, the other minister driving the bill through parliament, Jonathan Reynolds, was demoted in Sir Keir Starmer’s cabinet reshuffle from the senior post of business secretary to chief whip.

Until last week, Ms Rayner had been expected to deliver the keynote Labour Party speech at the TUC on Tuesday, but it emerged midweek that the education secretary, Bridget Phillipson, would be the speaker.

However, in Friday’s reshuffle she lost responsibility for adult skills – a key issue for the unions – to the new work and pensions secretary Pat McFadden, who will now head a new, beefed-up super-ministry promoting growth.

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And ironically, the TUC conference in Brighton is taking place less than two miles from the luxury seaside flat in Hove, on which Ms Rayner’s avoidance of £40,000 in stamp duty led to her resignation as deputy PM, housing secretary and Labour deputy leader.

Just before parliament’s summer recess, the House of Lords backed by 304 votes to 160 a Tory-led amendment to Ms Rayner’s bill to reduce the qualifying period for unfair dismissal claims from two years to six months, rather than from day one, as proposed by Ms Rayner.

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The rise and fall of Angela Rayner

Third reading of the bill in the Lords was last Wednesday, the day of Ms Rayner’s Sky News confession, and the bill is now set for parliamentary ping-pong, assuming the government overturns the Lords’ amendments in the Commons.

But in a pre-conference interview with Sky News, TUC chief and Rayner supporter Mr Nowak demanded no diluting of her bill, which also includes banning zero hours contracts which exploit workers and fire and rehire.

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“We are now at a crucial stage in the delivery of the Employment Rights Bill, just weeks away from Royal Assent,” said Mr Nowak. “And our clear message to the government will be to deliver the bill and deliver it in full.

“Ignore the amendments from the unelected peers, Tory and Lib Dem peers in the House of Lords, that are aimed at gutting the legislation, weakening workers’ rights.

“Stand with the British public, deliver decent employment rights. That’s important in workplaces up and down the country, but it’s important because these are proposals that are popular with the British public as well.”

Education Secretary Bridget Phillipson will be making a speech at the TUC's conference
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Education Secretary Bridget Phillipson will be making a speech at the TUC’s conference

The TUC says its analysis shows low-paid jobs in occupations such as the care, leisure and service sectors account for 77% of the increase in insecure jobs since 2011.

Black and ethnic minority ethnic workers account for 70% of the explosion in insecure work, according to the TUC, and southwest England and Yorkshire and Humber are insecure work hotspots.

Mr Nowak told Sky News: “We’ve got well over a million people now on zero-hours contracts. We’ve got millions of people who don’t have sick pay from day one and 70% of the kids who live in poverty have parents who go out to work.

“The government is absolutely right to be focused on making work pay. And the Employment Rights Bill is about putting more money in the pockets of working people, giving people more security at work.

“That’s good for workers, but it’s also good for good employers as well, so they’re not undercut by the cowboys.”

Speaking to Sky News last Wednesday, shortly after Ms Rayner’s tearful confession to Sky’s political editor Beth Rigby, Mr Nowak said: “There’s a real heavy dose of misogyny when it comes to Angela.

“Angela Rayner is playing a really important role in government and I wouldn’t want to see her hounded out of an important role by right-wing politicians and the right-wing media, who frankly can’t handle the fact that a working-class woman is our deputy prime minister.”

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Tube strikes: Full list of dates and lines affected in September walkout

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Tube strikes: Full list of dates and lines affected in September walkout

Londoners face almost a week of travel disruption when Underground workers go on strike next week.

There will be limited or no services for several days, and those services that are still running are expected to be busier than usual.

Members of the Rail, Maritime and Transport union (RMT) voted overwhelmingly for strike action after nine months of negotiations failed to resolve a long-running dispute over pay and conditions.

Transport for London (TfL) has offered a 3.4% pay rise which it described as “fair” but said it cannot afford to meet the RMT’s demand for a cut in the 35-hour working week.

Further talks have also failed to end in an agreement, but Nick Dent, London Underground’s director of customer operations, said it was not too late to call off the strikes before causing chaos in the capital.

Here is all you need to know.

When are strikes planned?

Strikes are planned from midnight on Sunday 7 September to 11.59pm on Thursday 11 September.

There is separate planned industrial action on 5 and 6 September, but this is not expected to cause disruption on TfL services.

The other days, however, will see delays across every underground line and the Docklands Light Railway (DLR).

Tube services will be limited for five working days next week. File pic: PA
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Tube services will be limited for five working days next week. File pic: PA

What’s running – and what’s not?

Sunday 7 September:

• Disruption across the entire Tube network, with limited services running
• Those that are running will finish early, with TfL encouraging people to finish journeys by 6pm
• The DLR will be running a normal service

Monday 8 September:

Tube
• Little to no service running across the entire Tube network
• No service before 8am or after 6pm

DLR
• Full service, but stations shared with the Tube network may face disruption

Tuesday 9 September:

Tube
• Little to no service running across the entire Tube network
• No service before 8am or after 6pm

DLR
• No service on the entire network

Wednesday 9 September:

Tube
• Little to no service running across the entire Tube network
• No service before 8am or after 6pm

DLR
• Full service, but stations shared with the Tube network may face disruption

Thursday 11 September:

Tube
• Little to no service running across the entire Tube network
• No service before 8am or after 6pm

DLR
• No service on the entire network

Friday 12 September:

Tube
• No service before 8am
• Service will return to normal on all lines by late morning

DLR
• Normal service

What about the Elizabeth Line and Overground?

The Elizabeth Line, London Overground and trams will be running on strike days. London’s bus network is also expected to be running a full service.

However, TfL warns other services will be extremely busy and trains may be unable to stop at all stations or run to their normal destinations.

No strikes are planned on the Elizabeth Line, but trains will not stop at some stations. Pic: iStock
Image:
No strikes are planned on the Elizabeth Line, but trains will not stop at some stations. Pic: iStock

On Monday 8 and Wednesday 10 September, the Elizabeth line will not stop at the following stations before 7.30am and after 10.30pm:

• Liverpool Street
• Farringdon
• Tottenham Court Road

On Tuesday 9 and Thursday 11 September, trains will not stop at the same stations before 8am.

How to get around during the Tube strike

As always during industrial action, TfL urges commuters to plan ahead and allow extra time for their journeys.

To do this, use TfL’s journey planner, or apps including City Mapper.

Cycling or walking is also recommended by TfL, with Santander, Lime and Forest bikes available to hire across the capital, as well as electric scooters in some London boroughs.

TfL recommends commuters use bikes or walk round London during strikes. Pic: iStock
Image:
TfL recommends commuters use bikes or walk round London during strikes. Pic: iStock

Have any events been cancelled?

As a result of the strike, Coldplay have rescheduled the final two dates of their 10-show run at Wembley Stadium.

The band posted a statement on social media to say their Music Of The Spheres shows on 7 and 8 September have been rescheduled to 6 and 12 September respectively.

“Without a Tube service, it’s impossible to get 82,000 people to the concert and home again safely, and therefore no event licence can be granted,” the band said.

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US singer-songwriter Post Malone has also rescheduled his two shows at Tottenham Hotspur Stadium on 7th and 8th September due to the strikes.

Tickets for both shows will remain valid for the rescheduled dates on 20th and 21st September.

Events for the BBC Proms are expected to still run throughout the week at the Royal Albert Hall until the last night on 13 September.

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Good weather and Women’s Euros helps UK net surprise boost to retail sales

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Good weather and Women's Euros helps UK net surprise boost to retail sales

Retail sales rose a surprising amount in July, as good weather and the Women’s Euros led people to part with their cash, official figures show.

The amount of spending rose 0.6% in July, according to figures from the Office for National Statistics (ONS), far above the 0.2% rise anticipated by economists polled by Reuters.

In particular, clothing and footwear stores, as well as online shopping, experienced strong growth.

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When looked at on a three-month basis, the numbers are weaker, with a 0.6% fall in sales up to July due in part to downward revisions in June.

Spending has declined since March, when supermarkets, sports shops, and household goods saw strong sales at the beginning of the year as warm and sunny weather pushed summer purchases earlier. Though compared to a year ago, sales are up 1.1%.

Fans gather during a Homecoming Victory Parade in London after England's win in the final of the Women's Euros. Pic: PA
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Fans gather during a Homecoming Victory Parade in London after England’s win in the final of the Women’s Euros. Pic: PA

Retail sales figures are significant as they measure household consumption, the largest expenditure in the UK economy.

Growing retail sales can mean economic growth, which the government has repeatedly said is its top priority.

A problem with the figures

These figures were originally due to be published in August but were delayed by two weeks so the ONS could carry out “quality assurance” checks.

Following the checks, the statistics body found a “problem”, which meant it had to correct seasonally adjusted figures.

It hasn’t been the only question mark over the reliability of ONS figures.

In March, UK trade figures were delayed due to errors from 2023, and the office continues to advise caution in interpreting changes in the monthly unemployment rate due to concerns over data reliability.

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UK growth slowed amid rising costs in June.

As a result of the latest error, previously monthly figures overstated the monthly volatility in the first five months of 2025, the ONS’s director general of economic statistics, James Benford, said.

Mr Benford apologised for the release delay and for the errors.

What could it mean?

It could mean retrospective changes to the UK economic growth rate, according to Rob Wood, the chief UK economist at Pantheon Macroeconomics.

Read more:
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April’s economic growth rate will be revised down, and May’s will be moved up as a result, Mr Wood said.

There will be no impact on the Bank of England’s interest rate decision, he added.

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