Shadow business secretary Chuka Umunna has called for those guilty of financial crime to face jail sentences.
Speaking to the Future of Financial Services summit yesterday, the Labour MP says the prospect of jail time is the best way to change culture and improve trust in financial services.
He says: “We will not rebuild trust with the public or affect a culture change in finance until custodial sentences are imposed on those guilty of criminal wrongdoing in your sector.
“It cannot be right that someone who seeks to cheat the benefits system out of a couple of hundred pounds in my constituency may well be thrown into jail for doing so, but those who seek to rig the financial system and receive hundreds of thousands of pounds as a result never seem to suffer the same fate.
“Is not the prospect of jail for gross wrongdoing one of the best ways we can affect a culture change?”
Umunna said politicians are not in a position to lecture on trust but pointed out that MPs and Lords had gone to prison for expenses fraud.
He also slammed the publication of Barclays’ £40m worth of bonuses for senior executives during this year’s Budget speech, hinting it was timed to bury the news.