Question to the Ministry of Justice:

To ask Her Majesty's Government what level of priority the Criminal Cases Review Commission (CCRC) has assigned to its review of the conviction of former trader Tom Hayes, on charges of manipulating the Libor rate; what plans they have to increase the grant-in-aid funding to the CCRC; and what plans they have, if any, to change the law relating to Libor.

As an independent arm’s length body, it would be inappropriate for the Government to comment on the Criminal Cases Review Commission (CCRC)’s handling of an individual case. However, the CCRC Casework Policy on Priority of Cases, available on its website, assigns cases which have been under review for more than two years as ‘higher priority’.

Budget allocations for 2021/22 for Arm’s Length Bodies such as the CCRC are yet to be decided. However, the decision will take into account – in consultation with the CCRC – the amount of funding it feels it needs to achieve its strategic goals for the year.

There has been substantial reform to the regulation of benchmarks since the 2012 LIBOR manipulation scandal. In 2013 the administration of LIBOR become a regulated activity, overseen by the FCA, and the government created a new criminal offence of knowingly or deliberately making false or misleading statements in relation to benchmarks. In 2016, the EU Benchmarks Regulation was introduced, regulating the administration, calculation and use of benchmarks.

The Financial Services Bill, currently before Parliament, amends the Benchmarks Regulation, to provide the Financial Conduct Authority with new and enhanced powers to oversee the orderly wind-down of critical benchmarks, such as LIBOR. The Bill also increases the maximum sentence for all criminal market abuse offences from 7 to 10 years, and this includes the offence of making misleading statements in relation to benchmarks.