So who is responsible for having scrapped it? Looks like IOSCO had a hand in it.........
Bank Denies Any Role In Probe Being Scrapped
By (c) Sky News 2016 | Sky News – Tue, Jan 12, 2016 22:04 GMT
https://uk.finance.yahoo.com/news/bank-denies-role-probe-being-214359755.html
The Bank of England has publicly denied any role in a controversial decision by the City regulator to ditch a review into banking culture. It (Other OTC: ITGL - news) comes days after MPs on the Treasury Select Committee summoned the leadership of the Financial Conduct Authority (FCA) to appear before them to explain the "curious" move.
The Bank issued a statement after a report in the Financial Times claimed that a Bank of England official on secondment to the FCA had overseen the decision to shelve the review. A spokesman said: "The Bank of England had no influence or role in the Financial Conduct Authority's decision to drop its thematic review on culture and it would be wrong to suggest otherwise.
"The Bank of England has consistently raised issues around banking culture and over the last year has completed its review into fair and effective markets and introduced rules on the senior managers regime and bankers bonuses which aim to improve accountability across the sector."
The FCA's decision last month to scrap the review sparked concern among some MPs that the watchdog was under pressure from the Government to soften its approach to banks. Last week the Treasury Select Committee summoned FCA chairman John Griffith-Jones and acting chief executive Tracey McDermott to give evidence on 20 January.
Andrew Tyrie, chairman of the Treasury Select Committee, said recent decisions by the FCA were giving the impression of a "weakening of resolve". The watchdog has also said recently that it will take no action against HSBC over allegations of Swiss tax avoidance and shelved a report into incentive structures for financial product sales staff. However Chancellor George Osborne has insisted that the UK's system of financial regulation was "pretty exemplary" and that he had no warning that the banking review was to be dropped.
The reputation of the banking sector has been tarnished by its role in precipitating the financial crisis and scandals such as the rigging of benchmark interest rates and the foreign exchange markets – which resulted in billions of pounds of fines. But the FCA now says that rather than a full-scale review, engaging with banks individually is a better way of improving conduct.
http://www.fmradvisory.com/blog/iosco-culture-change-front-and-centre
IOSCO - Culture change front and centre Robin Poynder - Monday, June 22, 2015 - 0 comments Attending the annual IOSCO conference last week, it was clear that the drive for a stronger/better culture within the financial markets was front and centre. Quite apart from the explicit sessions on FEMR and SMR in the UK, the topic of managing culture was raised time and again in the panel discussions and speeches. It is very clear that Governor Carney has led an initiative in FEMR, that will become a globally sponsored work stream via FSB, IOSCO and Central Banks.
The theme of culture change was brought up and emphasised by Martin Wheatley, CEO of FCA; Harriet Baldwin, MP; Greg Medcraft, Chair of IOSCO Board; Mark Carney, Governor of Bank of England; Dame Colette Bowe, Chairman of Banking Standards Board; in speech and key note address. Furthermore, panels specifically debated the progress, practicalities and methods for ensuring correct culture is generated within financial market institutions. Even Mary Jo White, who was careful not to appear weaker on enforcement in any way, was supportive of the notion that a FEMR like approach would be useful to look at for the US. Everyone recognised that this is a multi-year process and that some progress had been made - however the results of a poll in the room were perhaps somewhat concerning. Asked where firms are now in their journey towards promoting a better conduct culture, over 70% of the audience said that firms were either 'trying to get there but taking time' or 'lost and needing support'. Worryingly 5.8% seemed to think there was no need for change! There clearly remains a significant amount of work to be done. - See more at: http://www.fmradvisory.com/blog/iosco-culture-change-front-and-centre#sthash.4g27F8AC.dpuf
Confidence to crisis and back
https://www.fca.org.uk/news/confidence-to-crisis-and-back
Published: 17/06/2015 Last Modified: 17/06/2015 / Author: Martin Wheatley
Speech by Martin Wheatley, CEO of the Financial Conduct Authority, delivered at the IOSCO conference in London. This is the text of the speech as drafted, which may differ from the delivered version.
I’m delighted to be able to open this conference in London - it’s the 40th anniversary for IOSCO. I’m especially pleased that the UK Financial Conduct Authority is host for the event - the FCA is still only a little over two years from its creation but has already had a significant impact on the philosophy of regulation. And from a personal perspective, I’m delighted to introduce a second IOSCO annual conference. Albeit under very different circumstances to the first. I have had the slightly unusual privilege of hosting IOSCO on two separate occasions - Hong Kong in 2006 and now in London............read more https://www.fca.org.uk/news/confidence-to-crisis-and-back