Jan 16 2004
Professor Elaine Kempson of Bristol University has been appointed by the three joint sponsors of the Banking Code to carry out the 2004 independent review of the Banking Code and Business Banking Code.

Announcing the appointment today, Ian Mullen, chief executive of the British Bankers' Association (BBA) said: "The banking industry is committed to building on the improvements to the Codes made in the last review. Our objective is to promote the high standards of customer care and protection that the Codes provide. Professor Kempson is highly respected within the money advice sector, consumer groups and the financial services industry. We are delighted that she has been appointed to carry out the 2004 independent review."

Adrian Coles, director general of the Building Societies Association (BSA) said: "The Banking Code is essential for consumers, it tells them what to expect in terms of standards and service from their banks and building societies. As new issues arise, the review gives us the opportunity to revisit the Codes to ensure there is adequate consumer protection."

Professor Kempson said: "I am delighted to be appointed as independent reviewer for the Banking Code and Business Banking Code for a second term. A lot has happened since the Codes were last reviewed and I am looking forward to receiving views from a wide range of sources including consumer groups, Government, regulators and of course, the banks and building societies themselves." M/f

The industry has already committed to address points raised by the Treasury Select Committee - a "summary box" will be included on credit card literature by March 2004 - and this will be incorporated into the Banking Code. Other points expected to be addressed in the review are greater clarity on the use of credit card cheques and issues raised in the Government's recent White Paper on consumer credit. One of the more challenging areas expected to be covered is the help given to the small minority of people who get into serious difficulties with a number of creditors, where a bank or building society may be just one of many.

Elaine Kempson's appointment was welcomed by Seymour Fortescue, chief executive of the Banking Code Standards Board, the independent body that monitors and enforces the Codes: "Elaine is a respected, independent figure who will hear the voices of consumers as well as understand how changes will affect the industry."

The review of both Codes will commence in January 2004 and the results will be published alongside the Industry's response in September 2004. The revised Codes will take effect from 1 March 2005.