Rules to make bank executive and non-executive directors more accountable for failings will be extended across the financial sector, but plans for stricter treatment of parties as “guilty until proven innocent” have been shelved.
The UK Treasury has announced that the new senior managers' regime will be extended from banks to all financial services firms by 2018. The move will include insurers, asset managers and all investment firms.
Under the Senior Managers and Certification Regime, due to come into force in March 2016, executives and non-executives in the banking sector have a "duty of responsibility" to take appropriate steps to prevent regulatory breaches.
The regime was one of the ideas from the parliamentary commission on banking standards, chaired by Conservative MP Andrew Tyrie and established in the wake of Barclays’ £290m fine in 2012 for rigging
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