Oral Answers to Questions

Gareth Thomas Excerpts

Tuesday 9th May 2023 Commons Chamber

[Andrew Griffith]

My hon. Friend does great service as chair of the all-party group on personal banking and fairer financial services, so he knows of what he speaks. Today, the Government published a call for proposals on the metrics that regulators should publish to support scrutiny of their work; as every business leader knows, what gets measured gets managed. That responds to the significant interest shown by industry and Parliament in ensuring that appropriate and transparent public measures are in place to support scrutiny of the regulators’ performance. The Government are clear that with great power must come greater accountability.

[Gareth Thomas (Harrow West) (Lab/Co-op)]

One measure that would improve the regulatory framework for mutuals in the financial services sector, such as Royal London or Liverpool Victoria, would be the introduction of permanent mutual shares. Given that such a reform would allow a new safe route to access the capital that such financial mutuals need to expand—and without having to demutualise—will the Minister explain why the Treasury is still dragging its feet on the introduction of such a significant reform?

[Andrew Griffith]

The hon. Gentleman and I have talked a number of times about this. I do not think it is fair to say that the Treasury is dragging its feet. We have supported reform of the mutuals sector. We welcome a diversity of provision, which involves a greater expansion of and more commercial freedom for the mutuals sector. With the Law Commission, we are looking to take its work forward to see whether we can help, and I am always happy to sit down with him, or with any representatives from the sector, as part of my widespread programme of engagement.