(Updates with more quotes, details from report)
LONDON, Feb 12 (Reuters) – Britain and the United States are more convinced of the need to force banks to hold more capital than some big European nations, Bank of England Governor Mervyn King told the Council for Financial Stability last month.
The minutes of the meeting between the BoE, the Treasury and the Financial Services Authority on Jan. 14, published on Friday, showed King felt the task of getting nations to agree to stricter rules for banks “should not be underestimated”.
The G20 group of developed and emerging nations has been looking at ways to strengthen regulation after the credit crisis but there have been concerns that a show of unity at the height of the crisis may fall apart as the global economy recovers.
FSA Chairman Adair Turner told the meeting that, while Britain had pushed hard to implement internationally-agreed standards for remuneration in the financial sector, others were dragging their feet.
The minutes showed the FSA had forced some banks to change their pay plans and said “potential issues could arise if other countries failed to follow the UK’s implementation of the Financial Stability Board code in time for the 2010/11 remuneration round”.