Taming the banks

The Vickers report is elegantly argued, long and detailed. It has been welcomed in official quarters. But its proposals risk damaging a vital sector of the UK’s economy, hitting tax revenue and employment. Moreover, it does not achieve total bank safety. Its main target is the universal bank model, the combination of commercial and investment banking. But a well managed universal bank can be perfectly safe – something that is not fully recognised – and while the commission recommends increased regulation, relying on regulation without good management does not guarantee safe banking.
See link http://www.ft.com/cms/s/0/b8bc7ffc-ddf3-11e0-a391-00144feabdc0.html