You are here: Home - News -

CML and BBA boards agree trade body merger

by:
  • 18/02/2016
  • 0
CML and BBA boards agree trade body merger
Board members at three trade bodies involved in a review of financial trade associations have voted in favour of a merger.

The vote in support of a new association was made by board members at the British Bankers’ Association (BBA), Council of Mortgage Lenders (CML) and Payments UK.

The Financial Services Trade Association Review (FSTAR) was launched in 2014 by Ed Richards, the former chief executive of Ofcom, who proposed a ‘brand new’ organisation that could establish its own style and objectives.

Members of the CML and BBA are yet to vote on whether to keep the bodies separate, while members of Payments UK voted in favour of the proposals on 9 February. CML members plan to vote in March while the BBA is yet to confirm a date.

A BBA spokesman said: “It is right that our members get effective representation and value for money from their trade associations.”

A spokesman for the CML raised concerns that should the recommendation be approved, the trade body landscape could look ‘very different’ next year.

“There will be no certainty about the future CML position until after both our members and the members of the other trade bodies have voted. At this stage, it is for individual members to decide what will happen,” he said.

“In the meantime, all our members have assured us that they remain fully committed to, and engaged with, the CML’s work during 2016, and we are grateful both for their support and their ongoing commitment to business as usual in terms of our work during this period of uncertainty.”

HSBC and Barclays have already confirmed that they will let their memberships of the CML lapse by the end of the year in light of the review.

A Payments UK spokesperson added: “Delivering effective representation for the industry is at the heart of our organisation so we welcome our members’ decision. A formal announcement on the next steps can only be made by the FSTAR team once the decisions of the three other in-scope trade associations are confirmed. We will continue to work with them on behalf of our growing membership.”

Among those also included in the review are The UK Cards Association (UKCA), the Asset Based Finance Association (ABFA), the UK Payments Administration (UKPA) and the Financial Fraud Action UK (FFA UK).

Members of the Building Societies Association (BSA) and the Intermediary Mortgage Lenders Association (IMLA) have ruled out joining the new trade body.

There are 0 Comment(s)

You may also be interested in