View the article online at http://citywire.co.uk/money/article/a661522
Carney: bankers should focus on clients, not Ferraris
Incoming Bank of England governor Mark Carney says bankers should focus on their clients and not the trimmings of a luxury lifestyle.
Incoming Bank of England governor Mark Carney has said financiers should focus on their clients and not the trimmings of a luxury lifestyle.
In a speech at Western University in Canada's London, Carney (pictured) said bankers should see themselves as 'custodians' of their institutions, focusing on how to improve them and the way to best serve their clients.
Carney, the Bank of Canada governor who is due to take over from Mervyn King as governor of the Bank of England in July, made the comments at a time when banks are increasingly under pressure from the public and politicians.
The Libor rate-rigging scandal still hangs over Barclays - despite its 26% rise in adjusted pre-tax profit for the last year - and state-backed Royal Bank of Scotland is on Thursday expected to announce sweeping cuts to its bonus pool and investment banking division to appease to angry investors over its role in the scandal.
To buck up their ideas, Carney said: 'Bankers need to see themselves as custodians of their institutions, improving them before passing them along to their successors.'
He added: 'It has been said that "trust arrives on foot, but leaves in a Ferrari". After the Ferrari screeched out of the parking lot in 2008, what steps have been taken to rebuild trust?'
The answer, Carney continued, was that banks' efforts to rebuild trust had been overshadowed by scandals.
'This underscores that it remains the collective responsibility of banks, regulators and other stakeholders to rebuild trust in banking. Banks need to participate actively in reform, not fight it. Until recently, too few bankers acknowledged their industry’s role in the fiasco. The time for remorse is far from over.'
News sponsored by:
Making the most out of Europe's potential means seeing things differently. Learn more about how BlackRock's focused approach to investing in Europe helps investors unlock the continent's vast potential.
In this guide to investment trusts, produced in association with Aberdeen Asset Management, we spoke to many of the leading experts in the field to find out more.
More about this:
Look up the shares
More from us
- Barclays shares power ahead on sweeping bonus and job cuts
- RBS eyes £30bn cuts to investment business
Tools from Citywire Money
From the Forums
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add firstname.lastname@example.org to your safe senders list so we don't get junked.
by Jack Gilbert on Apr 25, 2017 at 11:02