Banking on Support

(10.55 Update: Process took just 20 minutes. Time to hang your head in shame UK)

This morning, I have a meeting with ASB Bank in Tauranga. Pingar LP (that sounds good) needs a new bank account.

The process will take about 30 minutes. And when I leave the branch, I will not only have an open account, I expect to have a new EFPOS card in the wallet.

Now let's switch the same scenario to the UK. Tim, John and Jim will have to follow a similar process. The term 'chalk and cheese' comes to mind. For any New Zealand company setting up a new operation in the UK, banking is one of the greatest differences between our two countries.

I know this blog is read by 'my man' at NatWest in the UK, so I am going to be careful how I say this. UK banks are remote, distant and expensive. Their recent bailout (and part nationalisation) has not to-date had much, if any, impact on their behaviour. Concern for their own balance sheet outweighs concern for the customer.

There. I've said it.

It does however raise a number of important questions. Just which bank should you use in the UK? That is a question that will no doubt dominate conference calls to the UK over the next few days. And it is a critical question for NZ businesses entering the UK market. In a country obsessed by anti terrorist and related anti-money laundering legislation, setting up a bank account in the UK is not a straightforward process.

This is one subject I guess I will be posting about again in the not too distant future.