Then we had the Financial Policy Committee!
A Green paper issued today by the UK government will detail significant changes within the structure of the Bank of England and the creation of a new subsidiary to be known as the Financial Policy Committee. The new committee will be under the control of the Bank of England and will be responsible for "prudential regulation" of all investment banks, insurers and deposit taking institutions in the UK.
The committee itself will be headed by a new deputy governor although overall control of the subsidiary will remain in the hands of Mervyn King, the governor of the Bank of England. The new committee will consist of 11 members whose role it will be to monitor the macro economics of the UK and look for signs of potential credit bubbles which eventually led to the collapse of the worldwide economy only three years ago. The committee will meet only four times a year and minutes from each meeting will be released within six weeks although there will be a six monthly report published on the UK economy.
This new committee will in effect be the first line of defence for the UK with regards to economic challenges in the future and should hopefully help to avoid similar situations such as that seen in the credit crunch.
Share this..
Related stories
Ryanair to cut fares by 20% as pressure grows
In a move which is certain to cause ripples throughout the budget airline industry it has been revealed that Ryanair will cut passenger fares by 20% in a last ditch effort to maintain passenger numbers as business and the industry continues to falter.
Just when it seemed as though the industry would benefit from a reduced oil price, the pressure has been cranked up even further wit...
Is protectionism really as bad as people suggest?
As the worldwide economy continues to head downwards we are seeing more and more signs of protectionism around the world as governments look inwards to protect trade and employment. Gordon Brown has been a particular critic of protectionism even though he has come under significant pressure at home to ensure "British jobs for British workers". So what really is protectionism and is it really as ba...
Read MoreRoyal Bank of Scotland appoints Standard Life chief executive
Royal Bank of Scotland has been forced to hire Sir Sandy Crombie in the role of the "champion of investor interests" in a move designed to take off some of the heat directed at the Royal Bank of Scotland board. The company has been under pressure since agreeing a substantial pension arrangement with outgoing chief executive Sir Fred Goodwin and a change in the investor relations department was ine...
Read MoreCadbury under pressure from Kraft Foods
JP Morgan, the influential US investment bank, has today issued a report which would suggest that Cadbury is possibly trading below the company's official guidance figures. If true, and nothing has been confirmed by Cadbury, this would be a bitter blow for the management which is currently attempting to escape the clutches of US counterpart Kraft Foods.
A proposed £10.2 billion tak...
Is The MSN And Yahoo! Love Match Back On
After a great deal of disbelief in the markets after MSN and Yahoo! recently announced that takeover / merger talks were over it seems that pressure from shareholders on both sides has pushed the parties back together. While officially they are in discussions about a possible advertising joint venture there are many in the market who believe this is a cover story for re-ignited merger talks. M...
Read More