The U.K. reached a draft deal with its European Union partners to lift its objections to turning the European Central Bank into a supervisor, according to two EU officials, in a move that paves the way for the end of over a year of negotiations on the proposals.
Barclays Plc, the bank fined for Libor manipulation, hired former Financial Services Authority Chief Executive Officer Hector Sants as head of compliance and government and regulatory relations, a newly created role.
U.K. Financial Services Authority Chief Executive Officer Hector Sants said British banks’ future bonus and dividend payments will depend on their satisfying regulators that the payments won’t weaken capital reserves or erode sound risk management, the Financial Times reported, citing an interview with Sants, who is to become head of the planned Prudential Regulatory Authority.
The U.K. Financial Services Authority couldn’t have done more to prevent the 2008 financial crisis, Hector Sants, the regulator’s chief executive officer, said in what is likely to be the agency’s final annual report.
The chief executive officer of Britain’s financial regulator, told pension funds that they had a “duty” to get more involved in the governance of the companies they invest in, including pay and bonuses.
Insurance companies considered too big to fail may be identified by global regulators as part of an initiative to reduce risks taken by firms so crucial to the financial system that their collapse could be catastrophic.