Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, whether there are any penalties in place for banks that are found to retain customer's money without informing them after the account has been closed.

Banks’ and building societies’ treatment of their customers is governed by the Financial Conduct Authority (FCA) in its Principles for Businesses and includes a general requirement for firms to provide a prompt, efficient and fair service to all of their customers, including in relation to account closures.

The FCA has a wide range of enforcement powers – criminal, civil and regulatory – to protect consumers and to take action against firms and individuals that do not meet its standards.