UK

Only One In Five Think Banks Are Well Run, After Majority Backed Banks In 1983

10/09/2013 14:46 BST | Updated 10/09/2013 14:55 BST
PA
Former Barclays chief executive Bob Diamond, leaves after giving evidence to the Treasury Select Committee at Portcullis House, central London.

British banks have collapsed over the last 30 years from being one of the most trusted institutions to something less than one in five have confidence in, a major study has found.

Back in 1983, 90% of the British public thought that banks were "well run". However, the number has plummeted to less than one in five now at just 19%, according to the latest British Social Attitudes survey.

The calamitous collapse in confidence for the British banking sector comes after the 2008 financial crisis and numerous financial scandals, including PPI and interest rate swap mis-selling and the fixing of the LIBOR interest rate, which saw Barclays boss Bob Diamond forced to resign.

"Their future public standing lies to a large extent within their own hands," the report warned.

In response, the British Bankers' Association told the Huffington Post UK that the decline in public confidence was "disappointing, but understandable".

"These are disappointing, but understandable, results. The public is rightly angry about taxpayers’ bailouts and the number of scandals that there have been in the banking industry in recent years.

“We know there is a lot to do to win back the trust of the public and customers which is why the industry is undertaking huge changes. Since 2007, 90% of senior executives at the major British banking groups have changed.

“Having a strong banking sector is vital for the country’s economic prospects. We fully appreciate that public confidence can’t be restored overnight but industry leaders are absolutely committed to rebuilding the banks’ reputation by putting the customer at the heart of everything it does.”