British parliamentarians have urged Royal Bank of Scotland and other lenders not to withdraw financial support from troubled credit card insurer CPP fearing the loss of more than 1,300 jobs.
CPP, which insures against credit card fraud and identity theft, said on Friday it was in talks with its banks about how an overhaul of its sales procedures would affect it, following a probe by the financial regulator into alleged mis-selling. The Sunday Times reported that RBS, Barclays and Santander had refused to renew CPP's credit facilities when they expire in March 2013. CPP declined to comment.
"We would strongly urge all involved parties to place the importance of local jobs at the forefront of any discussions with the business," Julian Sturdy and Hugh Bayley, MPs for CPP's home town of York, wrote in a letter to RBS CEO Stephen Hester and the heads of its other banks. "We firmly believe that a balanced and sensitive approach would secure such jobs and enable the organisation to work through its difficulties," the MPS said, in the letter emailed on Friday and seen by Reuters.