Overcast

Overcast

max temp: 15°C

min temp: 11°C

ESTD 1874 Search

The pigs are coming. Find out more about

Pigs Gone Wild

here.

Banking: PRA to launch enforcement investigation into the Co-operative Bank

18:16 06 January 2014

The Co-operative Bank  is to be the subject of an enforcement investigation by the Bank of England

The Co-operative Bank is to be the subject of an enforcement investigation by the Bank of England's Prudential Regulation Authority (PRA).

The Co-operative Bank is to be the subject of an enforcement investigation by the Bank of England’s Prudential Regulation Authority (PRA).

The regulator said the probe would “consider the role of former senior managers” at the lender, which underwent a rescue last year after a £1.5billion black hole was discovered in its finances.

The shortfall was widely attributed to problems arising from the takeover of the Britannia building society and the failed bid to acquire more than 600 branches from Lloyds. Questions about the management of the bank were also raised following drug revelations surrounding former bank chairman Paul Flowers. The Financial Conduct Authority said it was also undertaking enforcement investigations into the bank, looking at “decisions and events up to June 2013”. The PRA said no further details of its probe would be published until it reached its conclusions. A separate review announced by Chancellor George Osborne will not begin “until it is clear that it will not prejudice any actions that the regulators may take”.

The PRA indicated it would co-ordinate timings of the separate probes with the Treasury. It is the latest round of scrutiny to be faced by the bank and the wider Co-op group, and the first formal confirmation of official regulatory probes. It is understood that investigations will look into events as far back as 2006, with a wide range of penalties available should regulators find wrongdoing, including unlimited fines. Issues such as the capital shortfall and the level of due diligence ahead of the Britannia deal will come under scrutiny, as well as the timing of disclosures to markets and regulators about the problems the bank was facing. Individuals found responsible for breaches could be declared not fit and proper to hold positions in businesses regulated by the PRA – which oversees banks, building societies, insurers and other financial firms.

0 comments

The Inspirations shop in Wickham Market,owned by shareholders in the community, is now officially open. Nick Denny from the Co-op cut the ribbon.

The much anticipated transformation of a Suffolk village’s former supermarket into a new community retail venture was celebrated this week - four years after the site was last in use.

New-build utility connections specialist Brookfield Utilities has reported increased annual profits.
Photo: Rui Vieira/PA Wire

Annual profits at Suffolk-based Brookfield Utilities have increased by more than one-third as it continues to add to the number of properties it connects.

Curtis Banks Group chief executive Rupert Curtis (left) with Will Self, managing director of Suffolk Life, outside the company's offices in Princes Street, Ipswich.

Self-invested personal pensions (SIPP) specialist Curtis Banks Group has completed the £45m acquisition of Ipswich-based Suffolk Life from Legal & General (L&G).

Dan Everitt, managing director of MSC UK.

Dan Everitt, managing director at the Mediterranean Shipping Company’s UK headquarters in Ipswich, has been named Multimodal Personality of the Year at a leading industry awards ceremony.

Celebrating the launch of British Airways flights from Stansted Airport are Luke Hayhoe of BA CityFlyer (left) and Andrew Cowan of Stansted Airport with British Airways’ cabin crew Paulina Stasiak (left) and Danielle Bellini.

The first British Airways flights from Stansted Airport will get off to a flying start this weekend with all the summer sun destinations fully booked.

Most read

Great Days Out

cover

Click here to view
the Great Days Out
supplement

View

Most commented

HOT JOBS

Show Job Lists

Streetlife

Newsletter Sign Up

Great British Life

Great British Life
MyDate24 MyPhotos24