Just avoiding change

The Globe and Mail once again tries to pretend that Jim Flaherty is making any real progress on ATM fees with his strategy of threatening to continue talking. But the real story is that the banks are both secure that they'll be able to dictate the outcome, and aware that Flaherty's goal is merely a political victory rather than any real change:

“Providing an explanation is not enough,...” acknowledged one senior banker... “I suspect we're going to have to provide the Minister with a win, rather than just a reason.”

The executive said he was unsure what that “win” would be, but said the bank is currently working on possible solutions. Some of these could be outlined to Mr. Flaherty when he meets with bank CEOs in Toronto early next month.

“It won't eliminate the costs — it will reduce the costs,” said the senior banker. “We'll have to come up with creative ways to see how to really convey a change while minimizing our loss in revenue.”

Needless to say, the real problem shouldn't be limited to trying to give both the banks and Flaherty a perceived victory while changing as little as possible - a fact recognized and highlighted by the NDP.

But then, reading the article one would have no idea that anybody besides Flaherty in the political sphere besides Flaherty had even mentioned ATM fees...let alone that it's Flaherty who's sent signals that the government will refuse to use legislation to deal with the issue. And sadly, that effort to write any proposals for substantial change out of the picture entirely can only make it easier for the banks to "convey" whatever message is most favourable to them without actually changing the costs to Canadians.