Minutes of the Wholesale Distribution Steering Group – October 2021

The Wholesale Distribution Steering Group have the objective of overseeing the design of a new end-state model for wholesale cash distribution. This is to support the UK in an environment of declining cash volumes.
Published on 03 November 2021

Date of meeting: 6 October 2021
Location: This meeting took place via video/audio link

Minutes

Item 1 - Standing agenda items

15 September 2021 minutes

The group agreed the 15 September 2021 minutes, and approved their publication.

Sharing information on stakeholder management

None.

Item 2 - Progress update

Decision making process

The Bank thanked members for their participation in a recent round of trilateral meetings with the project team and the Bank of England. These were helpful in identifying both areas of support and any remaining challenges. Members are currently assessing the business case through their own internal governance processes. Upon completion the Bank, as chair of WDSG, will email all members to ask formally for their decision on whether they support the business case and wish to proceed to the next phase of development.

The chair raised that if there is insufficient support to proceed with the utility model business case as proposed, the Bank will be looking for industry to bring forward credible and measurable commitments to meet the success criteria that were agreed by WDSG at the start of the project.

Next steps

Eversheds reported that a plan of work will be developed with industry after the decision point, and reported back to the WDSG in a timely manner. This will be dependent on the level of support achieved for the utility, and whether any adjustments to the business case are required and feasible to build consensus. Should the utility model not receive sufficient support then a mechanism will need to be agreed with appropriate controls in place to facilitate the required discussions.

Items 3 - Public update

The Bank outlined a proposal for the WDSG to provide a public update after the decision point, irrespective of the outcome of that decision. It will be important at this stage of the development work to summarise progress made and set out the next steps.

The Bank proposed a target publication date before the end of year, as this needs to be a timely summary of the work. WDSG members agreed to establish a team to help deliver this.

Item 4 – Review action log

Actions were reviewed and closed where applicable.

Item 5 – AOB

None.

Committee attendees

Bank of England: Sarah John (Chair), Nick Butt, Elisabeth Bertalanffy-Fournier, Ronan McClintock, Molly Galligan

Eversheds: Ros Kellaway, Trystan Richards, Russell Saunders, Mark McLintock

KPMG: Chris Barnes

Barclays: Tim Allen

HSBC: Sue Yarham

Lloyds Banking Group: Richard Hill

Natwest: Richard Talbot

Santander UK: Robert White

HM Treasury: Azin Roussos, Derek Dunne, Kaelan Bhate

Virgin Money: Derek Walker

Danske: Kevin McMullan

G4S: Paul Van Der Knapp

TRM: Mark Loveridge

Vaultex: Mark Trevor

Apologies

James Best (BOE), Paul Pugh (Eversheds), Simon Walker (KPMG), Martin Barrett (Lloyds), Russell Hancock (Santander), Phil Vaughan (Vaultex), Anne Jessopp (TRM), Julie Fitzgibbon (BOI), John Garrett (AIB)