RBS payments glitch a 'serious failure', says MP
Andrew Tyrie, the Chairman of the Treasury Committee, described as a “serious failure” the glitch that prevented Royal Bank of Scotland customers from receiving their payments overnight.
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Earlier on Wednesday, the bank said payments including disability living allowance and tax credits, did not enter accounts, adding that some 600,000 transactions were likely to have been affected across its NatWest, Ulster Bank and Coutts banks.
“This looks like a serious IT failure at RBS, the latest of many in the industry,” Tyrie said.
“Many thousands of individuals and businesses have once again been badly hit.
“Customers that have suffered loss should be reimbursed in full by RBS. It is also important that credit scores remain unaffected.
The FTSE 100 group has since indicated that the delayed payments will be processed ‘no later than Saturday’, which Tyrie described as ‘unacceptable’.
“Restoration of payments should be a top priority,” the Tory MP added.
“It is crucial for those in the greatest financial need and also those who find it difficult to go to a branch.”
The group suffered a similar technical problem in 2012, when a software issue left millions of customers unable to access accounts, which led to the bank being fined £56m by regulators,” the Chairman of the Treasury Committee said.
“These failures should concern both the conduct and prudential regulators."
Tyrie added he will demand action from the chief executive of RBS, the chief executive of the Financial Conduct Authority and the chief executive of the Prudential Regulation Authority.