Conservative Leader Pierre Poilievre is calling for the federal government to block Royal Bank of CanadaB次元官网网址檚 $13.5-billion takeover of HSBC Canada as a way to help with housing affordability.
Poilievre said in a statement Friday that CanadaB次元官网网址檚 banking sector is already overly concentrated and the loss of HSBC Canadian division will only make it worse.
B次元官网网址淚f the biggest banks in Canada simply buy up growing players, thereB次元官网网址檚 no hope for there ever being more competition in Canadian banking.B次元官网网址�
He pointed to the Competition BureauB次元官网网址檚 finding that the bank was a rate disrupter on mortgages, the loss of which could leave Canadians paying higher rates.
B次元官网网址淚f you have a smaller competitor pulling down rates, then we should want them to remain in place.B次元官网网址�
RBC spokesman Andrew McGrath said in a statement that the takeover is in the best interest of HSBC CanadaB次元官网网址檚 700,000 clients, and that the Competition BureauB次元官网网址檚 review did not identify Competition Act concerns with the deal.
B次元官网网址淲e strongly believe that RBCB次元官网网址檚 proposed acquisition offers HSBCB次元官网网址檚 Canadian clients the best possibility for continuity and stability,B次元官网网址� he said.
In its review, the federal regulator said the takeover wouldnB次元官网网址檛 likely result in a substantial lessening of competition.
It did however say the deal would mean a loss of rivalry between the two banks and that CanadaB次元官网网址檚 banking sector remains concentrated with high barriers to entry.
The deal must still be approved by Freeland, whose decision will be informed by the regulatory review processes, said Katherine Cuplinskas, a spokeswoman for the minister.
A coalition of environmental groups including Stand.Earth, LeadNow and Decolonial Solidarity, who have been pushing against the deal largely because RBCB次元官网网址檚 climate policies clash with HSBCB次元官网网址檚 more progressive stance, welcomed PoilievreB次元官网网址檚 comments as a rare point of agreement.
Richard Brooks, climate finance director of Stand.earth, called on Freeland to listen to those opposed to the deal.
B次元官网网址淢inister Freeland needs to just do the right thing for our climate, for Indigenous rights, and for bank workers and customers and reject this mega deal.B次元官网网址�
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