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At the time of writing (8th October 2013) the Financial Services (Banking Reform) Bill has been placed before the House of Lords for their detailed consideration. With some 86 proposed amendments on the table this task is expected to raise further issues; even though many of the proposed amendments relate to recommendations from the Parliamentary Commission on Banking Standards (PCBS).
Responding to the proposed changes the FCA welcomed the 58 recommendations which related specifically to the regulator and announced that it intended to take forward the majority of the proposals contained within the report “Changing banking for good”.
According to IFA Online, in commenting on the proposal that boards should be responsible for managing organisational risk and that under the proposed senior persons regime individuals would be held to account for failings, the FCA agreed with the proposals but advised that in future culture and overall approach will be more important than structure. An FCA spokesperson added “This conclusion is consistent with the FCA’s new supervisory framework, which is focused on market integrity and fair outcomes for consumers, rather than only on compliance with the rules.”