Christian Socialists urge Labour to be tougher towards banks

Christian Socialists are calling on the Labour Party to be more radical in its approach to banks when it meets for its annual conference next week.

The Christian Socialist Movement said recent attempts at bank reform had been “too timid”, as it criticised the banking sector for “failing to reform itself” and continuing with “business as usual”.

It echoed the sentiments of Bank of England Governor Mervyn King, who recently told the TUC that the financial system still needed “radical reform”.

CSM director Andy Flannagan said the banks were a concern “because the financial crisis hit the poor the hardest”.

“While banks continue to pay very high salaries and bonuses again, those on low or no incomes are still suffering.

“Saving the banks means we have less to help the poor, both in the UK and around the world.

“We cannot afford another banking crisis, so Labour should lead in proposing radical reform.”

CSM is proposing a resolution for debate at the conference next week in which it urges the Labour Party to adopt a tougher policy on banks.

The resolution has received the support of the Vauxhall Constituency Labour Party and will be put forward by Stephen Beer, CSM’s representative at the conference.

He said: “We cannot stop people doing silly things and banks failing, but if we separate retail banking from riskier casino banking we can stop a failing bank bringing down the whole system.

“It is time to make financial policy for the many, not the few.”