Contender for the job of Governor of the Bank of England, Andy Haldane, last night said:
"If as bank customers we want to change the culture of banking, then we should start by supporting those banks who are delivering that change. Putting your money where your mouth is would deliver far greater and more durable change than any amount of banker-bashing."
He was speaking at an event on 'Socially useful banking' convened by Occupy UK. You can read his full speech here.
Haldane said that a corner is being turned in the UK's banking sector, emphasising that change was coming both from regulators and ordinary people who are demanding better banks. He praised a model of banking where:
"All credit decisions are taken locally by people, not centrally by a computer. No bonuses are paid and no-one has a sales-target. When the whole firm out-performs, a contribution is made to a pooled fund which is invested on employees’ behalf. The fruits of success are distributed equally and gratification is deferred."
Move Your Money believes we are at a tipping point. There is a real alternative to the big banks that is better for customers and better for the economy: building societies and the cooperative have seen a surge in new customers, as have smaller ethical banks and new peer to peer lending platforms.
Even the country’s most powerful regulators are waking up to the fact that top down reform can only take us so far. Ultimately, it is up to us as customers to move our money out of the big banks if we want to see lasting change.
If you want to put your money where your mouth is, (perhaps we should ask Andy where he keeps his?!), find out where you can move to now.