Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps his Department is taking to help ensure that UK banks are trading responsibly in global markets.

All UK regulated banks are subject to robust prudential and conduct regulation and supervision, overseen by the UK’s independent regulators, who operate under a legislative framework set by the Government and Parliament.

Authorised UK banks are subject to prudential requirements, overseen by the Prudential Regulatory Authority, which includes minimum requirements for capital and liquidity, in line with international standards.

In addition, any business carrying out a regulated activity on a UK regulated market must be authorised by the FCA, unless they are otherwise exempt. Once authorised, the FCA requires such firms to meet the standards for authorisation on a continuous basis, and supervises them including to ensure that their conduct on markets does not compromise market integrity.

The IMF has said that the UK ‘operates a sound and transparent regulatory and supervisory framework for banks’ and that the UK’s ‘effective prudential and supervisory structure is helping support the safety and soundness of the United Kingdom’s banking… system’.