The prominent member of the new coalition government said that whether or not they are able to force banks to change their practices would be a key test of how successful the new government is.
One of the negative side effects of this crisis is that our banking
system is now even more concentrated
so there's less competition
Recent research by BBC show Panorama showed that high street banks surveyed are charging as much as 167% interest on unauthorised overdrafts.
Authorised overdrafts are charging an average of 32% interest, despite advertised rates of around 19%.
"When we talk about restructuring the banks what's going to come out of this is a more competitive system where the customers are not ripped off," said Mr Cable.
"One of the negative side effects of this crisis is that our banking system that was already very concentrated is now even more concentrated so there's less competition, less choice and bigger temptation for banks to earn margins at the expense of their customers."
Despite the government bailout of the banks ensuring that many are now part owned by the general public, the majority of small and medium-sized business owners are still finding access to finance difficult.
