Are we really about to see the end of free banking?

In other countries, banking charges are quite common, even for those who maintain a positive balance, writes James Moore. So what on earth was banking watchdog boss Nikhil Rathi thinking when he hinted Britain might be going the same way?

Nikhil Rathi, the chief executive of the Financial Conduct Authority (Victoria Jones/PA)

It’s fair to ask what on earth the boss of Britain’s financial watchdog was thinking when he mooted the end of free banking.

Nikhil Rathi, the chief executive of the Financial Conduct Authority, opened that pandora’s box in a recent speech at a City conference hosted by Morgan Stanley, an investment bank.

Here’s what he said: “We have always been clear that if business models need to change in response to competition and a changing market, we would not stand in the way.