Financial services sector

Meeting: 
MQT on 2016-02-22
Session date: 
February 22, 2016
Reference: 
2016/0529
Question By: 
Fiona Twycross
Organisation: 
Labour Group
Asked Of: 
The Mayor

Question

Thank you for your responses to questions 2016/0366 and 2016/0365. Further to these questions, do you believe that the culture of London's banking sector has sufficiently modified since the 2008 to prevent the kinds of practices that led to the global financial services crash?

Answer

Answer for Financial services sector

Answer for Financial services sector

Answered By: 
The Mayor

I believe it is important that financial services firms follow advice and guidance issued by the Financial Conduct Authority and other industry bodies. I recognise that London's continued success as a global centre for the financial services industry owes in large part to the strength of the UK's regulatory framework and its professional standards. I am therefore pleased to note that the Financial Conduct Authority has committed in its response 'to support and drive culture change' through a number of ways including:

 

1.                 Focusing on engagement with individual firms through supervision

2.                 Using the FCA's position as the conduct regulator to promote constructive discussions with industry and consumer groups

3.                 Offering support to the increasing number of initiatives outside the FCA on banking culture

4.                 Continuing to demand high standards of conduct, backed by supervision and enforcement action if necessary, such that an appropriate culture remains a top priority for banks' management.