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UK Announces New Debanking Protections

UK Announces New Debanking Protections

by Starling Insights

Starling Insights Editorial Board

May 09, 2025

Observations

Last week, the UK Treasury announced legislation which would institute new protections against "debanking," requiring banks to provide clear reasons and 90 days' notice before closing accounts.

"Delivering economic security for working people is at the heart of our Plan for Change and strengthening protections against debanking will protect people's and businesses' access to banking services," said Emma Reynolds, Economic Secretary to the Treasury. “Under the new rules, customers will receive more notice of account closures, be entitled to an explanation as to why their account has been closed and have more opportunity to challenge such decisions.”

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