Parliamentary Commission on Banking Standards to conduct pre-legislative scrutiny of the draft Banking Reform Bill

After discussions with the Chancellor of the Exchequer, it has been agreed that the Commission will receive the draft Bill in the week commencing 8 October and start work on it immediately.

In its Terms of Reference, the Commission has been asked to report on legislative action no later than 18 December 2012.

Commenting on today’s announcement, the Chairman of the Parliamentary Commission on Banking Standards, Andrew Tyrie MP, said:

“The Banking Reform Bill is likely to have a massive impact on the banking industry; not only on the way banks in the UK are structured and the treatment of systemic risk, but also on corporate governance and standards.

“The scandals of recent months have demonstrated the necessity for legislation. We will look carefully at the Government’s proposals in the light of them.

“Parliament needs to get this right, not just for the sake of the industry but in the best interests of the economy as a whole and the millions of people who need banks.”