HSBC sparks fury with ‘wealthy only’ bank services

CAMPAIGNERS yesterday hit out at plans by a leading British bank to set up a branch where only the wealthiest customers can receive face-to-face services.

John McFall MP, chair of Britain’s Treasury Select Committee, said the move by HSBC “flew in the face” of commitments to financial inclusion while charities slammed the decision for neglecting the needs of elderly people.

The comments came after HSBC — which advertises itself as the “world’s local bank” — confirmed that it is to convert an outlet at Canford Cliffs in Dorset into a “premier-only” service.

It means from June, the only people eligible to speak to advisers at the branch will be customers with at least £50,000 (€73,000) savings, a £200,000 (€293,000) mortgage, or a £100,000 (€146,000) mortgage with a £75,000 (€110,000) salary.

Poorer clients will still be able to deposit and withdraw cash at a machine on the premises, but for other services they will have to travel further afield.

HSBC said the branch does not currently have a cashier service and the only change will be that advisers will be for premier customers only. A spokesman said: “The reason we are doing it is Canford Cliffs is a very wealthy area well serviced by HSBC. A high percentage of customers at this branch are premier customers.

“If it was a bigger branch we would have incorporated the premier service alongside our normal cashier and adviser services.”

But campaigners say the decision will hit vulnerable banking customers hardest.

Eddy Weatherill, of Britain’s Independent Banking Advisory Service, said: “This is pandering to those that have the ‘rich life’, but a lot of people do not enjoy that privilege. Banks are taking away more and more services for customers.”

Derek French, director of the Campaign for Community Banking Services, said: “The people that need counters most are people who are less sophisticated, less well off and the elderly. These are the very people HSBC are turning away.”

HSBC’s decision comes after MPs attacked the banking sector for treating poorer customers as “second class citizens”.

Speaking yesterday Mr McFall said: “This seems to fly in the face of the policy of financial inclusion which the (British) Government and the banks themselves said they are pursuing.”