Independent Commission on Banking
Encyclopedia
The Independent Commission on Banking was established in the United Kingdom
in June 2010 to consider structural and related non-structural reforms to the UK banking sector to promote financial stability and competition. It was established in the wake of the global financial crisis which began in 2007
. It was chaired by John Vickers and included four other Commissioners: Bill Winters, Martin Taylor
, Clare Spottiswoode and Martin Wolf
. The Commissioners were supported by a team of fourteen officials seconded from HM Treasury
, the Department for Business, Innovation and Skills
, the Financial Services Authority
, the Bank of England
and the Office of Fair Trading
. The Commission made its recommendations to the UK government
on 12 September 2011. Its headline recommendation was that British banks
should separate their retail banking divisions from their investment banking arms to safeguard against riskier banking activities,, but it also made a number of other recommendations on bank capital requirements and competition in retail banking. The government announced the same day that it would introduce legislation into Parliament aimed at implementing the recommendations.
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
in June 2010 to consider structural and related non-structural reforms to the UK banking sector to promote financial stability and competition. It was established in the wake of the global financial crisis which began in 2007
Late-2000s financial crisis
The late-2000s financial crisis is considered by many economists to be the worst financial crisis since the Great Depression of the 1930s...
. It was chaired by John Vickers and included four other Commissioners: Bill Winters, Martin Taylor
Martin Taylor (businessman)
Martin Taylor is a businessman and former chief executive of Barclays Bank. He is currently Chairman of Syngenta AG.-Career:He joined Reuters as a journalist in 1974, before moving to the Financial Times in 1978, where he edited the paper's Lex column.In 1984, he joined the board of Courtaulds,...
, Clare Spottiswoode and Martin Wolf
Martin Wolf
Martin Wolf, CBE is a British journalist, widely considered to be one of the world's most influential writers on economics. He is associate editor and chief economics commentator at the Financial Times.-Early life:...
. The Commissioners were supported by a team of fourteen officials seconded from HM Treasury
HM Treasury
HM Treasury, in full Her Majesty's Treasury, informally The Treasury, is the United Kingdom government department responsible for developing and executing the British government's public finance policy and economic policy...
, the Department for Business, Innovation and Skills
Department for Business, Innovation and Skills
The Department for Business, Innovation and Skills is a ministerial department of the United Kingdom Government created on 5 June 2009 by the merger of the Department for Innovation, Universities and Skills and the Department for Business, Enterprise and Regulatory Reform .-Ministers:The BIS...
, the Financial Services Authority
Financial Services Authority
The Financial Services Authority is a quasi-judicial body responsible for the regulation of the financial services industry in the United Kingdom. Its board is appointed by the Treasury and the organisation is structured as a company limited by guarantee and owned by the UK government. Its main...
, the Bank of England
Bank of England
The Bank of England is the central bank of the United Kingdom and the model on which most modern central banks have been based. Established in 1694, it is the second oldest central bank in the world...
and the Office of Fair Trading
Office of Fair Trading
The Office of Fair Trading is a not-for-profit and non-ministerial government department of the United Kingdom, established by the Fair Trading Act 1973, which enforces both consumer protection and competition law, acting as the UK's economic regulator...
. The Commission made its recommendations to the UK government
Government of the United Kingdom
Her Majesty's Government is the central government of the United Kingdom of Great Britain and Northern Ireland. The Government is led by the Prime Minister, who selects all the remaining Ministers...
on 12 September 2011. Its headline recommendation was that British banks
Banking in the United Kingdom
Banking in the United Kingdom can be considered to have started in the Kingdom of England in the 17th century. The first activity in what later came to be known as banking was by goldsmiths who, after the dissolution of English monasteries by Henry VIII, began to accumulate significant stocks of...
should separate their retail banking divisions from their investment banking arms to safeguard against riskier banking activities,, but it also made a number of other recommendations on bank capital requirements and competition in retail banking. The government announced the same day that it would introduce legislation into Parliament aimed at implementing the recommendations.