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<p>The Government believes that it is important to improve competition in the banking
sector and ensure consumers have the information they need to make sensible decisions
about their money. The Government has established competition and conduct-focussed
regulators which have broad and robust powers to enforce breaches of their rules.</p><p>
</p><p>On current accounts, the Government has worked with industry to deliver the
Current Account Switch Service (CASS) so customers can switch where they see a better
deal. Customers have switched over 4.2 million times since CASS was launched in 2013.
The Government is currently supporting industry to put in place additional measures
to build on and improve CASS, as part of the package of remedies proposed by the Competition
and Markets Authority to improve competition in the banking sector.</p><p> </p><p>On
cash savings accounts, following a 2015 study of the market, which concluded that
competition in the sector was not working as effectively as it could be, the Financial
Conduct Authority (FCA) developed a series of measures to improve the information
firms make available to consumers and to make it easier for them to switch accounts.
For example, the FCA trialled a ‘sunlight’ remedy to bring to light firms’ strategies
towards their longstanding customers by publishing the lowest interest rates offered
on easy access cash savings accounts and easy access cash ISAs on the FCA’s website.
The FCA is currently evaluating the effectiveness of the ‘sunlight’ remedy trial and
considering whether any other actions may be needed to achieve more effective competition.</p>
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