View more on these topics

Lord Myners calls for independent review into banking

Lord Myners has called for an independent review into the investment banking industry.

In an interview with the Guardian, the City minister said a review into how investment banking has “permeated “ society must be undertaken following this year’s general election.

He said: “Investment banking has spread into everything we do in business. Company executives spend more and more time with investment bankers. We need to re-examine an economic model that seems to work much better for investment banks than for businesses and workers.

“I think this is a suitable subject for a major independent review after the election into how investment banking has permeated so many corners of society.”

Myners also questioned the bonus culture in the banking industry, adding pay and bonus policies must incentivise smart ­decisions, not reckless risk-taking.

Recommended

Certification guide

Guide: how to… certify your pension scheme

Certification is highly complex and surrounded by a minefield of information and auto-enrolment jargon, which can make it very difficult to understand. However, for many employers it is a necessary process that must be executed successfully.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Good, but can IFAs play a part in this? Part of the solution?

  2. This has been my view for some time. A root and branch search and then recommendations. The real question is after the recommendations are in, what effective action can be taken on a global or even national basis to transform the investment banking structure to de-permeate it and reward smart rather than reckless-risky decisions?

    Suppose we now have the recommendations – which will be for change on a grand scale if they are worth anything. What actions do we have at our disposal? No good saying wait and see. We must know what ammunition we have at the outset and plan for a build-up of capacity to act. Or it won’t be worth the effort.

Leave a comment