Cambridge to get new 'boring' bank

A group of Cambridge businessmen, including former HSBC head of technology and innovation David Gill, are setting up their own 'boring' bank.

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Cambridge to get new 'boring' bank

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Brainchild of Nigel Brown, former chairman of financial services boutique NW Brown, the Cambridge Commercial Lending Company is currently trying to raise £50 million for the venture.

Former boss of Coutts private bank Peregrine Banbury has been installed as chief executive while Gill, who is now the managing director of Cambridge-based St John's Innovation Centre, has joined the board.

The new firm, which is applying to the FSA for a banking license, will concentrate on lending to small local businesses. The area has a reputation for attracting high-tech start-ups, earning it the sobriquet Silicon Fen.

Brown told the Independent newspaper that the venture will be called Cambridge Boring Bank or the Boring Bank of Cambridge, reflecting the risk-averse attitude of people after the financial collapse.

Separately, department store retailer John Lewis is the latest non-bank player considering a move into the financial services sector, according to the Daily Mail.

The retailer - which enjoys a reputation for fair play and trust on the high street - is exploring the possibility of applying for a banking license and launching a savings account, says the tabloid. It would not look to buy a branch network, instead operating through its stores and online.

Tesco, Virgin Money, US investment group Blackstone, Vernon Hill's Metro Bank and Sandy Chen's Walton & Co are all making moves to take advantage of public disillusionment with the UK's high street players by establishing their own presence.

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