Appeal against “discredited” point-of-sale ban starts today

Barclays Bank’s appeal to the Competition Appeal's Tribunal (CAT) ban on point-of-sale Payment Protection Insurance (PPI) sales begins today, the BBC reports.

The Bank launched its appeal to the CAT January ruling in March.

The consumers association Which? chief executive, Peter Vicary-Smith said: "PPI has been widely discredited, so it's important that it's sold separately from other financial products to help consumers make informed choices about how best to protect their finances.

"Rather than appealing [against] the Competition Commission's decision, Barclays should concentrate its efforts on developing protection products that offer better cover and value for money to its customers," he added.

Not supported by evidence

Barclays said: "Barclays recognises the importance of appropriate financial protection and customer choice and provides a range of products to support customers in this area.

"The main area of concern is the point of sale ban which, it is felt, is not justified by the evidence that has been provided," she added.

Barclays is being supported in its appeal by the Shop Direct group (which owns the Littlewoods catalogue business), and the largely state-owned Lloyds banking group.

The Commission is being supported by the FSA.