Banks Should be Clear on Where the Buck Stops
The FCA criticises British banks for failing to set out clear areas of responsibility for top staff, making it harder to pinpoint who is to blame when things go wrong.
It followed lawmakers concerns that few individuals were being punished for Bank failings.
New regulations are to be introduced to force Banks to say which officials oversee specific operations so that it becomes easier to sanction individuals for wrongdoing.
Katie Stephen a dispute lawyer at Norton Rose Fulbright said ‘the pool of people facing personal sanctions in the event of breaches is now much larger’
The Government has decided that this regime must be rolled out across the whole financial sector from 2018.
‘We intend that our extended regime will be clear, simple and proportionate’ the FCA said