5 OCTOBER 1991, Page 24

Hobson's policy

HEAVEN protect us from well-meant protection. The Rent Acts gave tenants less choice, and the Financial Services Act is now doing the same for buyers of insurance. The banks and building societies who sell it give them Hobson's choice. National Westminster, which tried to be different by offering its customers choice and advice, has given up the strug- gle. Abbey National wants to sell own- brand insurance and is buying an unin- spired producer. So the government that broke up the brewers' networks of tied pubs is left with one rule for beer and another for insurance. Now the insurance is more likely to be watered. I wonder how many of the customers will swallow it.