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Co-operative bank withdraws services to councils
‘This means that we will be seeking to exit some banking relationships which do not meet our future risk appetite or which have comprehensive and complex banking requirements,’ a letter written to council leaders and chief executives said.
‘As part of this strategy, we have decided to withdraw from our involvement in providing banking transmission services to local authorities.’
Existing contracts with councils will not be renewed when they expire, the bank outlined. Support with be given to local authorities wishing to bring forward their timescales for seeking formal banking tenders.
The Co-operative is thought to have a 35 per cent market share of local authority transactional banking contracts.
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