Jim Shannon – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Jim Shannon on 2016-01-27.

To ask Mr Chancellor of the Exchequer, what steps he is taking to minimise the risk of future bank failures.

Harriett Baldwin

Since the financial crisis, the government has taken a number of steps to improve the regulation of banks. The Financial Services Act 2012 overhauled the regulatory architecture, putting the Bank of England in charge of prudential supervision, and establishing the Financial Policy Committee to monitor and take action in respect of macroprudential risks.

The government has implemented further reforms, including legislating through the Financial Services (Banking Reform) Act 2013 for the “ring-fencing” regime to separate banks’ riskier investment activities from their retail banking activities. The government has implemented the Bank Recovery and Resolution Directive, ensuring the Bank of England has the tools to resolve banks.