In response to the Chancellor's speech on banking reform today, Kevin Burrowes, PwC's UK banking leader, commented:

"The Chancellor’s decision to electrify the retail ring-fence could be regarded as curious. The regulators have more than enough weaponry available to make banks comply regardless. Electrifying the fence will be time consuming as the Chancellor makes the ultimate decision on whether to flick the switch and force separation . The Chancellor is sending a strong signal to banks and the markets that he expects them to take this matter very seriously and not abuse the system on ring-fencing. Few could argue that sending this message is not necessary given the sector's current reputation."

ENDS