Member

Amendment 15 is a way to improve the parliamentary accountability of the Bank in another way. I believe that the parliamentary committees that scrutinise the financial services sector will be interested whenever this new power is used, particularly when it is used for anything other than small banks or banks that do not have MREL. The failure of such banks will call into question the effectiveness of regulation, since it implies that a failed bank did not have enough core capital or MREL, if it was on a glide path to achieving an amount of MREL. Capital requirements are set by the PRA, which is part of the Bank of England, and the Bank sets MREL.