View more on these topics

Chancellor u-turns on board representation

The Chancellor has u-turned on his policy of not requiring Government representation on banks’ boards and is to make five independent appointments to the banks receiving Government investment.

The Chancellor Alistair Darling revealed yesterday that the Government would be appointing two independent members to the board of the merged HBOS and Lloyds TSB entity and a further three independent board members to Royal Bank of Scotland.

Although the appointments will not be Government officials he told Parliament last week that he did not think it would be useful to have Government representation on banks’ boards.

Speaking in Parliament yesterday, Conservative Shadow Chancellor George Osborne highlighted the Chancellor Alistair Darling’s u-turn on having board representation.

He said: “The Chancellor has also rethought his position on taking seats on the boards of the banks which we now part own.

“Last week he told the House that ‘in relation to Government nominees sitting in boardrooms, I never thought that a particularly useful course of action
to follow.’”

There will be several high profile departures from both RBS and HBOS following the Government’s bail-out package.

RBS chief executive Fred Goodwin is to be replaced by British Land chief executive Stephen Hester and RBS chairman Tom McKillop is to retire.

HBOS chief executive Andy Hornby and chairman Lord Dennis Stevenson are to stand down when the merger with Lloyds TSB completes and neither are to receive a golden goodbye package.


Recommended

Survey cover

EEF/Jelf Employee Benefits Sickness Absence Survey 2015

EEF stated in its 2015 EEF Manifesto that the UK’s growth prospects depend on people being fit, working and productive. Keeping people in work and helping people return to work is very important for the manufacturing sector. It means boosting productivity by getting people back into work as early as is possible, as well as fostering workplace cultures and environments that proactively manage individuals’ health conditions so that all can benefit from lower sickness absence outcomes.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com