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Banking: Corporate Governance

Volume 712: debated on Thursday 16 July 2009

Statement

My honourable friend the Exchequer Secretary (Sarah McCarthy-Fry) has made the following Written Ministerial Statement.

The Government strongly welcome the publication today of the consultation document of Sir David Walker's independent review of the corporate governance of UK banks and other financial institutions.

Corporate governance failures were a major contributor to the financial crisis and the weaknesses in board practice, risk management, control of remuneration and exercise of ownership rights identified must be addressed.

Sir David’s proposals are detailed and comprehensive, setting a new benchmark for best practice both nationally and internationally.

The Government will carefully consider his proposals, including their wider and international implications, and in conjunction with the views arising from the consultation, make sure that robust measures are put in place.

Copies of the consultation have been deposited in the Libraries of the House.