Regs Could Lead To Bank Sector Shakeup

Paul Tucker, deputy governor of the Bank of England, says new regulations on how to wind down failing banks could result in a major restructuring of the banking industry, reports Reuters.

Paul Tucker, deputy governor of the Bank of England, says new regulations on how to wind down failing banks could result in a major restructuring of the banking industry. Mervyn King, the central bank’s governor, added that regulators should help financial institutions collapse safely. “Our role is not to stop from failing, it’s to make sure that if they fail, they do not contaminate the rest of the economic and financial sector,” King said.

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