Board of Banking Supervision

Notes for editors

1. The Board operates under the Banking Act 1987. On the commencement of the Bank of England Act 1998 on 1 June 1998, the Financial Services Authority (FSA) became the authority responsible for banking supervision and the Boards advice has since been given to the FSA rather than to the Bank of England. The Board is expected to lapse in the course of the next year on commencement of the Financial Services and Markets Bill.

2. The Board provides advice on the following matters:

   (i) the general principles and policy of supervision of institutions authorised under banking supervisory legislation;

   (ii) the development and evolution of supervisory practice;

   (iii) the administration of banking supervisory legislation, including advice on individual cases;

   (iv) the structure, staffing and training of banking supervisors.

3. The Board and its members are free to take the initiative in raising matters within these areas and have rights of access to the Chancellor.

4. Independent members of the Board of Banking Supervision are appointed by the Chancellor of the Exchequer and the Chairman of the Financial Services Authority. There are six independent members, the other five being: Sir Alan Hardcastle, Mr Peter Gerrard, Mr Harry Taylor, Mr Gottfried Brder and Sir Brian Pearse. The Chairman of the Financial Services Authority, Mr Howard Davies, and Mr Michael Foot, the FSAs Managing Director for Financial Supervision, are members of the Board ex-officio. Since 1 June 1998, the Board has been chaired by Sir Alan Hardcastle.

5. From 1990 to 1994, Sir Dennis Weatherstone was Chairman and Chief Executive Officer of J P Morgan & Co. He holds a number of directorships, including General Motors, Merck & Co and Air Liquide.