Commercial Financial Dispute Resolution Platform

Mike Weir Excerpts

Thursday 15th December 2016 Commons Chamber

[George Kerevan]

Indeed. That brings us to the nub of the issue: the imbalance in power between an individual small business and a bank.

[Mike Weir (Angus) (SNP)]

I have a constituent in a similar situation to the constituent of my hon. Friend the Member for North East Fife (Stephen Gethins). My hon. Friend the Member for East Lothian (George Kerevan) is right to talk about an imbalance. My constituent’s business was put under by the Royal Bank of Scotland. He found that taking legal action was almost impossible, because RBS, bailed out by the taxpayer, was in a much stronger financial position than he was. My hon. Friend’s suggestion of an alternative mechanism gives at least a real chance for these businesses to take on the massive banks, which the public have bailed out.

[George Kerevan]

Indeed. It is clear in Scotland—it might be true of other parts of the UK—that the major banks have signed up many solicitors, making it almost impossible for someone to find a lawyer to represent them, even if they want to take action against a bank, difficult as that would be, given the financial ability they wield in court.