Regulation Correspondent, Europe
Huw's Feed
Jan 20, 2015

UK watchdog says consumers need help to switch cash accounts

LONDON, Jan 20 (Reuters) – Britons get poor value from many
cash savings accounts, finding it hard to switch to rival
providers, the Financial Conduct Authority said in a study on
Tuesday that however stopped short of banning some practices.

It should be made easier for consumers to compare and switch
between accounts in the 700 billion pound ($1 trillion) cash
savings market where just six providers hold roughly two-thirds
of all balances.

Jan 19, 2015

BoE says badly run banks face hefty capital surcharge

LONDON, Jan 19 (Reuters) – Badly run banks in Britain will
be forced to hold substantially more capital until they can show
that internal risks are under control, the Bank of England said
on Monday.

The BoE’s Prudential Regulation Authority (PRA) published a
consultation paper on how it will use powers to require lenders
to hold extra capital to cover risks that are not generally
covered by a bank’s minimum core buffer.

Jan 16, 2015

UK banks tell nine trade groups they should merge

LONDON (Reuters) – Banks told nine trade associations in Britain on Friday they should merge into a single body to strengthen lobbying in Europe and slash membership costs.

A working group of banks that includes HSBC, Barclays and Lloyds said in a consultation paper there are too many trade groups, leading to duplication of lobbying and a lack of strategic direction.

Jan 16, 2015

EU lawmaker wants workers’ say on bonuses in shareholder rights reforms

LONDON (Reuters) – Employees should have a say on their bosses bonuses and long-term investors should be rewarded with additional powers and benefits, a senior European Union lawmaker has proposed.

The 28-country bloc is revising its rules on shareholder rights to put pressure on companies to focus on long-term sustainable growth and not short-term gains to please markets.

Jan 15, 2015

UK company watchdog to study boards, investor advisers

LONDON, Jan 15 (Reuters) – Britain’s corporate governance
policeman will study whether boards are doing all they can to
improve business standards and if investors get the best advice
on voting at annual meetings.

The Financial Reporting Council (FRC) is acting after its
2014 review of how companies upheld the regulator’s corporate
governance code for boards, as well as the stewardship code for
asset managers and other investors, still found failings.

Jan 14, 2015

BoE’s Carney says IMF may help with stress test of UK lenders

LONDON (Reuters) – The International Monetary Fund (IMF) could play a role in this year’s health check of Britain’s banks to help to reinforce rigor in the exercise, Bank of England Governor Mark Carney told lawmakers on Wednesday.

The central bank published in December the results of its 2014 stress test into how leading lenders such as Barclays, HSBC and RBS fared in a theoretical housing market crash and a sharp rise in unemployment. Some lenders have to boost their capital buffers as a result of the test.

Jan 9, 2015

UK watchdog says trader found guilty of FX investment fraud

LONDON, Jan 9 (Reuters) – Alex Hope has been found guilty of
defrauding investors of five million pounds ($7.6 million) to
help fund his lifestyle, Britain’s market regulator said on

The Financial Conduct Authority said Hope was found guilty
of fraud by Southwark Crown Court in central London on Friday.

Jan 8, 2015

EU lawmakers eye compromise for U.S. on benchmarks

LONDON (Reuters) – European Union lawmakers look set to ease the international impact of rules to stop market benchmarks being rigged, addressing U.S. concerns that global investors could lose out.

The bloc is approving a law to directly regulate benchmarks such as those based on interest rates and currencies that banks have been fined billions of dollars for attempting to manipulate.

Jan 6, 2015

EU lawmaker seeks to dilute bank trading reform

LONDON (Reuters) – Draft European Union rules forcing banks to isolate their risky trading activities should be eased to take national measures into account and avoid harming markets, an EU document written by a senior lawmaker has proposed.

The 28-country bloc is in the process of approving a law that would force banks to legally separate trading activities above a certain size so their collapse in any future market meltdown wouldn’t hurt customer accounts.

Jan 6, 2015

UK watchdog fines Execution Noble for breaching listing rules

LONDON (Reuters) – Britain’s financial regulator has fined brokerage Execution Noble & Co 231,000 pounds ($351,000) for breaching rules on sponsoring companies seeking to list on the stock exchange.

The Financial Conduct Authority (FCA) said on Tuesday this was the first time it had fined a sponsor using tougher powers it gained in 2013.

    • About Huw

      "Huw is based in London and covers European regulatory issues and global rulemaking bodies such as the G20, Financial Stability Board, IOSCO, IASB and the Basel Committee. He has covered EU regulation in Brussels, the emergence pan-European stock markets, and has also been a Wall Street reporter in New York."
    • Follow Huw