Retailers urged to register unresolved historical banking complaints

The Business Banking Resolution Service (BBRS), a new, independent and free dispute resolution service, has asked businesses within the retail and wholesale sectors to see if their unresolved banking disputes can be tackled.

The firm said an estimated 600,000 UK SMEs could qualify for its independent, free-of-charge specialist dispute resolution services dating back to 2001. This includes businesses which have since closed down, merged or been sold.

The BBRS is urging businesses with outstanding banking disputes to see if they can apply for support using a quick online tool, particularly those with older unresolved complaints, as the deadline for historical complaint applications is 14 February 2023.

“It is important that businesses who have unresolved disputes with their bank check to see if they can receive support,” Small Business Minister Paul Scully said. “Services like the BBRS will play a vital role in ensuring SME and their owners, past and present, can access expert advice and support for vital issues such as unresolves banking complaints, not only as we build back better from this pandemic but also well into the future.”

Liz Barclay, the Small Business Commissioner and a former CEO at Citizens Advice, added: “The opportunity, particularly for medium-sized firms, to have their, often long-standing, banking complaints settled by an independent, high quality dispute resolution service could make a real difference to their futures.

“If you think your current firm or a previous one, could benefit, whether you’re an owner or a director, contact the BBRS and see if they can help.”

The ONS data shows that some 111,500 retail and wholesale businesses operated during this period at the larger SME size, with a turnover that would qualify them for BBRS support.

The BBRS is fully independent and free to use. The process is overseen by Chief Adjudicator, Alexandra Marks, a Deputy High Court Judge, and resolves disputes based on what is fair and reasonable for each case.

Businesses going through the service will be assigned a highly skilled dispute resolution specialist, who will act as a single point of contact and offer practical support. If the BBRS upholds a complaint, it can make a financial or non-financial award against a bank, up to £350,000 for Historical Cases and £600,000 for Contemporary Cases (and it can recommend more).

Dirk Paterson, customer director at BBRS, said: “We want as many businesses as possible – and directors of those no longer operating – to have the opportunity to use the BBRS’ service. This includes businesses, trusts, charities, friendly societies, and co-operative societies. We urge them to see if they qualify for our help and, if so, to register. If unsure, businesses can check online or contact us to find out more.”

The BBRS can also assess more recent ongoing complaints through its Contemporary Scheme, which covers cases for the period from 1 April 2019 onwards: it is for businesses with turnover up to £10m per annum; and total assets up to £7.5m; and which are not eligible to take their complaint to the Financial Ombudsman Service.

The BBRS’ Historical Scheme covers banking complaints first registered in the period from 1 December 2001 to 31 March 2019. Businesses may qualify for support if they had turnover between £1 million and £6.5 million per annum at the time of their complaint, and their case has not already been settled, been subject to an independent review, or gone to court.