Newly launched ClearBank approached about a potential flotation
CLEARBANK, which launched last week and is Britain’s first new clearing bank in 250 years, has been approached by investment bankers about a potential flotation, founder Nick Ogden says.
ClearBank was set up with the support of the Bank of England
The firm goes live in the autumn and Ogden said that it has no plans to float, as it has funding from Canadian seafood billionaire John Risley and Petr Kellner, who is the 96th richest person in the world according to Forbes.
Clearing banks connect other banks, building societies and credit unions to the financial system.
However, that access is controlled by Britain’s four clearing banks, Barclays, Lloyds Banking Group, HSBC and Royal Bank of Scotland, who are accused by critics of using their position to stifle competition from the challenger banks.
The Treasury believe it will help boost competition in the retail banking market
Ogden says that by partnering with ClearBank, firms will gain low-cost access to Britain’s payments network and counter services.
ClearBank was set up with the support of the Bank of England and the Treasury, as they believe it will help boost competition in the retail banking market.
It has already signed up a bank, a building society and a large financial institution as clients and is close to doing a deal with a retail bank.