Commenting on the publication today of the PRA’s Supervisory Statement SS28/15 on Strengthening Individual Responsibility in Banking, as well as its Policy Statement PS16/15, and on the FCA’s final rules and consultation paper CP15-22 on the same subject, Simon Lewis, Chief Executive of AFME, said:
“AFME has consistently expressed its support for measures designed to continue the improvement of culture and ethics in the financial markets, including the FCA/PRA proposals to strengthen bankers' individual responsibilities.
“We welcome the fact that the regulators have accepted a substantial number of the points we have made in earlier consultations. But a number of key points have not been taken on board. In particular, it is questionable whether the allocation of individual responsibilities is both proportionate, and also accurately reflects the way in which large international banking groups are governed.
“We still await the detailed proposals relating to foreign banks' UK branches, and the proposed further consultations on various important matters, including regulatory references, which have come out of the Fair & Effective Markets Review.
“All this will take time, and the current planned implementation programme is now even more challenging than previously. We would urge the regulators to continue to work together, and with banks, to establish final fair and effective rules in good time, so as to enable all staff to undergo the appropriate training and be clear as to their responsibilities. 7 March 2016 may no longer be a realistic commencement date for this key new regime.”