Right, which is why I haven't said anything about legally forcing them to or anything.
I'd rather find strategies for getting them to see that it can be in their interest, find banks that can be worked with, etc.
It is a real barrier to bitcoin business to not be able to have a bank account that your customers can easily deal with and have trust in.
Have you tried Metro bank?
My friend is Somalian and had a million and one issues with the whole funding terrorism thing when he got into some sort of mining deal with some Somalians back home and Metro were the only bank that'd touch him with a bargepole.
I think they're only in London though
Intersango banked with them. I'm pretty sure they've had their accounts closed.
Personally I'd approach the FSA and apply for a Money Transfer license even though technically you do not need it.
Next is to register with HMRC as a High Value Dealer. Let them know you're at risk for money laundering and ask how you can protect yourself.
Your business plan should emphasise how you plan to combat money laundering and fraud, for example by accepting payments that cannot be 'charged-back'. Then walk into the bank armed with all this and you might have a fighting chance.
----
It's not just UK banks that don't want anything to do with Bitcoin. I approached Currency Fair with the hope of being able to accept international wires to exchange to Bitcoin and although they were receptive at first, an interview on BBC Radio 1 with regards to Silk Road ended that.
Now they explicitly forbid even personal transfers to Bitcoin exchanges in their FAQ.