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Jun 13, 2012

Britain likely to adopt bulk of advised bank reform

LONDON, June 13 (Reuters) – The British government will on
Thursday say it will force banks to adopt the vast swathe of
reforms recommended by an independent panel last year to
safeguard taxpayers and the economy from future financial
crises.

Finance minister George Osborne, taking forward the advice
of the Independent Commission on Banking (ICB), will tell banks
how the government will “implement those recommendations in
detail” to stop problems in the sector “spilling onto our high
streets”.

Jun 13, 2012

Osborne to press bank reforms, urge euro action

LONDON (Reuters) – British Chancellor George Osborne will press on with a far-reaching overhaul of the banking sector and urge Europe on Thursday to fix its finances to help drag the UK out of its second recession in four years.

In his annual Mansion House policy speech to London’s financiers, Osborne is expected to defend his deficit-cutting plans and argue it has created some room for other policy levers to help revive the economy.

Jun 12, 2012

Falklands to vote on keeping British rule

LONDON (Reuters) – The tiny Falklands Islands will ask 3,000 inhabitants whether they want to stay part of Britain’s self-governing overseas territories in a referendum designed to outflank Argentina’s sovereignty claims to the South Atlantic archipelago.

Britain and Argentina waged a brief war over the disputed islands in 1982 and tensions between the two nations have escalated in the year of the 30th anniversary of the conflict as British companies have started to look for oil in the region.

May 28, 2012

Blair says feared fight with Britain’s media barons

LONDON, May 28 (Reuters) – British leaders are forced to
court powerful press barons such as Rupert Murdoch or risk
savage media attacks which render them unable to govern
effectively, former Prime Minister Tony Blair told an inquiry on
Monday.

Interrupted by a heckler who accused him of being a war
criminal for supporting the U.S. invasion of Iraq, Blair paused
briefly before continuing to justify his ties to Murdoch with
whom he said he developed a close friendship.

May 28, 2012

Odds lengthen on Osborne’s UK debt reduction gamble

LONDON, May 28 (Reuters) – In George Osborne’s office, a
framed cartoon shows Britain’s finance minister being crushed by
an elephant labeled debt.

The irony may be choking for Osborne: his bet on Britain
growing out of its debt addiction is in doubt and the $2.5
trillion economy is bracing for the what Prime Minister David
Cameron has warned could be the break up of the euro zone.

May 17, 2012

British PM tells Europe to quell the turmoil

MANCHESTER, England, May 17 (Reuters) – Prime Minister David
Cameron urged Europe’s rulers on Thursday to do more to quell
the euro zone debt crisis and raised the prospect of a Greek
default to argue he must stick to his unpopular attempt to cut
spending and reduce debt at home.

Warning that the survival of the euro was now in question,
Cameron showed growing alarm and frustration that the crisis was
spinning out of control, threatening Britain’s $2.5 trillion
economy and his own electoral prospects in 2015.

May 16, 2012

Cameron looks to shield Britain from euro break-up

LONDON (Reuters) – Prime Minister David Cameron will promise on Thursday to do whatever is needed to protect Britain’s economy and banks from a break-up of the euro zone, and will urge leaders of the single currency bloc to “sort out its problems”.

Cameron’s remarks, in a speech to business leaders in northwest England, are likely to irritate European leaders trying to keep the euro zone intact as Greece prepares for a new election and struggles to cope with its debt crisis.

May 15, 2012

European Union breaks deadlock on bank rules

BRUSSELS (Reuters) – EU finance ministers agreed on tougher capital rules for banks on Tuesday, resolving years of sparring between Britain and the rest of the European Union over how best to craft measures to prevent another financial crisis.

Acknowledging the depth of the recent euro zone difficulties that have driven Spain to take over lender Bankia and prompted a sweeping credit downgrade of Italy’s banks, British finance minister George Osborne dropped earlier objections and threw his weight behind the draft law.

May 15, 2012

Anxious EU ministers edge towards bank rules deal

BRUSSELS, May 15 (Reuters) – European finance ministers
edged closer on Tuesday to breaking a deadlock on tougher
capital standards for banks, a reform designed to prevent
another financial crisis but which has exposed deep rifts
between Britain and the rest of the EU.

Britain refused to back a draft of the law earlier this
month, when its finance minister, George Osborne, accused fellow
ministers of trying to water down the new rules to a point where
they would make him “look like an idiot”.

May 11, 2012

UK confident on bank reform despite EU row

LONDON, May 11 (Reuters) – Britain expects its flagship
banking reforms to remain on track after European Union talks
next week, a government source said on Friday, despite
opposition to its demand for more freedom from Brussels to
choose the level of banks’ capital defences.

Finance minister George Osborne has said he will see through
recommendations from the Independent Commission on Banking
(ICB)for banks to be split into retail and investment arms and
to hold more loss-absorbing bonds as a defence against crises.

    • About Matt

      "I cover all aspects of government policy from the British parliament, but concentrate on Number 10, fiscal policy at the Treasury, and monetary policy at the Bank of England. I am based in our parliament office in Westminster and in our UK bureau in East London."
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