Senior representatives of the Financial Conduct
Authority (FCA) have credited UK banks for prioritising the
conduct of senior staff.
Its chairman, John Griffith-Jones, has reassured
bankers that the reversed burden of proof under the incoming
senior managers regime (SMR) would be used "with great care and
skill, and only when appropriate."
But he noted that this aspect of SMR is designed to
overcome shortcomings of its predecessor, the approved persons
regime, under which it was difficult to hold individuals to
account for misconduct that caused bank failures.
Many of Griffith-Jones’ comments
regarding the new regime, which were made at the UK securities regulator’s annual public
meeting on Wednesday, were echoed by outgoing chief
executive Martin Wheatley.
"I’m more convinced than ever that
conduct is at the top of firms’ agendas;
it’s no longer an afterthought," said Wheatley,
who will step down on September 12.
Griffith-Jones said the...