That was thrown out.

http://www.guardian.co.uk/money/blog/2009/nov/24/bank-charge...

Thankfully they ruled that if you go over your agreed overdraft limit, the bank can charge you what they like.

Sanity prevailed.

I also do not buy the 'that's why bank accounts were free'. Consumer banking has always been free in the UK. Before consumer overdrafts/charges were common. I believe it's more than covered by the cost of business banking.

I think it's a much better system - consumer banking free, business banking paid for. The original freemium business model.