Inaugural Regulation workshop opened by former Head of NAO
15 November 2010
The regulatory framework and appropriate behaviourSir John opened proceedings by asking how the regulatory framework should be reformed to make banking safer, and posited that, without the opportunity for discretion, any regulatory framework merely provides "a ladder up which criminals can climb". He identified the behaviour of individuals within the system as crucial, and questioned how the system might be devised to encourage apropriate behaviour. In conclusion, Sir John identified areas of particular vulnerability in financial markets, perhaps the most significant being the potential threat of cyber crime attacks on the major financial institutions.
"the 1983 Nolan Bill [was] the ultimate 'race to the bottom' regulatory system