Tonight:
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Bank reeling from Darling's boost to FSA
26.06.09
The Bank of England was today working out how it would respond to the Government's decision to strengthen the role of the Financial Services Authority in banking supervision to the detriment of the central bank's powers.
It emerged this morning that Chancellor Alistair Darling's planned new Banking Act will hand over to the FSA part of the Bank of England's current role of maintaining financial stability.
The move is thought to be a response to the perception that, although the Bank did warn of the impending financial disaster, it did not shout loud enough.
Details will be included in a white paper next month.
Reader views (6)
The Banks need to sort themselves out and not take our money but just run their business
They take our money and just give it to their staff and high pensions which was at £700,000 early on but now reduced by half
There are now 2.2 million people without jobs including myself and I have applied for 150 CV's to jobs but nothing at all back although I have worked for 45 years running sales teams across the UK
- Brian Challis, Southend-on-Sea, UK
Luckily we had the Bank of England who saw and warned about the huge credit risks the government was taking. FSA did nothing and are appointed by Nu Labor...
- Steveo, London NW1
Derling should have "boosted" himself out of government a long time ago. He is far out of his depth in his position, has nto much clue about economy I think.
- Georgie, Islington, London
So New Labour don't trust the BOE? Well, if true, perhaps, in the interests of transparency, McMitty might like to ask US about it at an autumn General Election.
- Ted, London
Does innocent Mervyn King think he is going to outmanouevre an outfit now manipulated by Mandelson.
- Alan, Llandrindod Wells
A big mistake. The regulator has made enormous errors of judgement, and is shown to be very much a political poodle; putting banking supervision in their hands will only serve to make this country more inflexible and over-regulated.
- Gazza, London/UK
