Scottish MPs back Merger Action Group over HBOS deal

Scottish MPs have rallied behind the Merger Action Group in trying to prevent the Lloyds TSB takeover of HBOS due to the threat it represents to competition.

MAG has lodged an application with the Competition Appeal Tribunal which brands the decision to allow the merger as unlawful.

A joint statement from members of Scottish Parliament Alex Neil, Tavish Scott and Margo MacDonald says: “We were very pleased to meet with MAG ahead of the preliminary hearing of the Competition Appeals Tribunal tomorrow.

“The merger of HBOS and Lloyds TSB has too many implications not to follow proper process and the rule of law. As a result we have offered our support and help.”

They add: “We call for the tribunal to hold its hearing in Edinburgh. HBOS is a Scottish bank and the Office of Fair Trading report made it clear that Scottish business is most at risk from the proposed merger with Lloyds.”