View more on these topics

Hoban makes capital Euro plea

Treasury financial secretary Mark Hoban has warned the European Commission not to impose any rules which will undermine the ability of UK regulators to go beyond the capital requirements set out in Basel III.

The latest Basel accord originated in an agreement by the G20 and would set a minimum core tier-one capital requirement for banks of 7 per cent from 2019.
The rules will be applied in Europe through the capital requirements directive 4, currently being worked on by the European Commission.

The UK Government has raised concerns that CRD4 will impose “maximum harmonisation”. It says this will mean the Financial Policy Committee will not be able to go further than the rules in the directive and so will not be able to apply the higher capital requirements set out by the Independent Commission on Banking.

In a speech in Brussels last week, Hoban said being able to place higher requirements on banks is vital to reduce the need for recourse to public money if they fail and that “we must resist any attempts to unpick” the G20 agreement.

He said: “Jurisdictions must retain the right to apply higher levels of regulation to ensure financial stability in their own markets. This is particularly important for countries like the UK that are home to large global financial centres.”

He added that his position is backed by the International Monetary Fund, the European Central Bank and the European Systemic Risk Board.

Derbyshire Booth Financial Management managing director Greg Heath says: “Setting a maximum requirement is dangerous because it does not account for countries having to deal with bigger financial sectors which pose more of a risk.”


Fears over quality of adviser influx

Lifesearch says it is concerned there will be an influx of poor quality advisers in the protection market when the RDR comes into force and has urged providers to be careful which advisers they deal with. Chief executive Tom Baigrie fears unscrupulous advisers will try to take advantage of the fact protection is not covered […]

FSA censures BoS for high-risk strategy

The FSA has censured Bank of Scotland after finding it guilty of “very serious misconduct” which led to it being bailed out by the Government and taken over by Lloyds Banking Group. The regulator says a fine in this case would be “both merited and substantial” but has decided against imposing a financial penalty as […]

Chelsea’s Matt Woodbridge to join Barclays Wealth

Chelsea Financial Services head of investment products Matthew Woodbridge is leaving the firm to join Barclays Wealth. Woodbridge is to leave Chelsea Financial Services on April 5 and will be joining Barclays Wealth as vice-president shortly afterwards. He will be working in the product team across tax-efficient vehicles such as VCTs and EIS, as well […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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