In this article, Bradley Fried in the Financial Times highlights the challenges facing the Parliamentary Commission on Banking Standards. He identifies the potential danger to the UK banking industry of the establishment of a new set of rules which serve to deter the brightest and best talent from joining the industry, preferring to build their careers elsewhere with the subsequent consequences for the UK’s position as a global leader in financial services and the impact on the overall UK economy. His measure of success for this Commission in years to come is a culture not ‘defined by pay or money-making capacity but by good human behaviour and it will be rooted in the legitimate expectations of a banks’ clients, shareholders, regulators and employees – not to mention the needs of society.’ This would indeed be a good outcome but not at the expense of the banking industry’s ability to continue to attract top talent. Banks will continue to need to compete for the brightest and the best in a global market and in this context the industry will need to remain an attractive proposition from a ‘pay or money-making capacity’ whilst not being defined by this – not an easy task to achieve.
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