Banking regulation 'essential' - Lord Turner

In a speech at the annual British Bankers' Association conference, Turner said excellent supervision is a necessary but not sufficient condition for financial stability. He said it was important to learn the lessons and accept the need for radical change, such as change in the style of supervision, change in the regulations applied to banks, and changes in the banks themselves. He argued that strong capital and liquidity are central to the reform of banking regulation going forward. "One clear need is to get better at identifying emerging systemic risks - and to create tools which ...