- Regulation only going to get tougher for banks
- Restoring trust and confidence remains a priority
Commenting on the Wheatley Review of Libor released today, Giles Williams, banking regulation partner at KPMG, said: “Martin Wheatley’s recommendations on Libor send a much broader message to financial institutions in the UK. This is a clear statement that bad behaviour will not be tolerated and regulation is only going to get tougher. It links very closely to the changing tone of how the FCA will operate in the future.
“An underlying message of this review is the resetting of the culture and behaviour at banks and these recommendations are in line with other comments about accountability and a tougher line from the FSA.
“With regard to the Libor specific recommendations, it is interesting that so many reference rates are to be discarded, bringing the number down from 150 to 20. It focuses on the key rates and brings a more simple framework underpinned with robust and transparent governance.
“From an international perspective, there are also brave words about the International Organization of Securities Commissions (IOSCO) driving forward international reform. This will be challenging as we know from other international regulatory initiatives that this has often been easier to say than to deliver.”
Notes to editor
For further information please contact
Monica Fiumara, Senior PR Manager, KPMG
Tel: +44 (0)20 7694 5674
Mobile: +44 (0)7901 105180
KPMG Press Office: 020 7694 8773
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with nearly 11,000 partners and staff. The UK firm recorded a turnover of £1.6 billion in the year ended September 2010. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 150 countries and have more than 138,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. KPMG International provides no client services.