Gilmore can't bank on help for accounts

City Labour MP Sheila Gilmore has voiced disappointment at the UK Government's failure to commit to giving people a legal right to a basic bank account.

Some 1.5 million adults live in households where no-one has a bank account, which means they often have to pay more for goods and services.

Ms Gilmore, MP for Edinburgh East, sponsored a Commons debate on the issue last week, but she said she feared government promises to improve financial inclusion might be just warm words.

She said: "I argued that the coalition should build on the progress of the previous Labour government by implementing our commitment to a legal right to a basic bank account.

"But the minister said in response 'I do not want to get bogged down in what banks should or should not do'.

"There are many things the coalition could do to encourage banks to improve the take-up of basic bank accounts."