A report by the Director of Finance sought the Cabinet’s approval to tender for banking services provided to the Council, including the Merseyside Pension Fund. The current contract with Royal Bank of Scotland (RBS) Group could be extended to 31 March 2013.  However, a European Union Directive was forcing RBS to divest itself of some of its services to other banks prior to that date. It may, therefore, be necessary to assign the existing contract to an alternative bank as an interim measure if this divestment takes place before the conclusion of the tender process.

RESOLVED:  That

(1)  agreement be given to invite tenders for the provision of banking services to the Council, including Merseyside Pension Fund;

(2)  agreement be given to the extension of the existing contract with RBS Group for the period of the tender process, which shall be no later than 31March 2013; and

(3)  the Director of Finance be authorised to agree to the assignment of the existing contract with RBS Group to another bank should RBS divest its services prior to completion of that tender.