UK banks face rules to cap overdraft charges

Given a second chance to get tough on banks, the UK antitrust regulator outlined a cap on fees on customers who spend more than they have in their current accounts, a proposal criticised as too little, too late by consumer groups.

The Competition and Markets Authority recommended a cap on overdraft charges and a grace period for customers to avoid charges in its second report on UK retail banking in seven months.

In 2014, UK banks received £1.2bn (€1.52bn) in revenue from the fees.