On July 17, the establishment of a Parliamentary Commission on Banking Standards was announced. The Commission, which will be chaired by Andrew Tyrie MP, Chairman of the House of Commons Treasury Select Committee is a 10 member commission jointly appointed by both the House of Commons and the House of Lords with 5 members drawn from each House.
Its mandate is to report on:
- professional standards and culture of the UK banking sector, taking account of regulatory and competition investigations into the LIBOR rate-setting process; and
- lessons to be learned about corporate governance, transparency and conflicts of interest, and their implications for regulation and for government policy.
The Commission will make recommendations for legislative and other action by December 18- so that its recommendations can be reflected in the Banking Reform Bill (the legislation will implement ring-fencing and other requirements recommended by the Independent Commission on Banking; see the June 15, 2012 edition of Corporate and Financial Weekly Digest) and on other matters as soon as possible thereafter.
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