It appears bank boards will be required to go beyond figure head status under upcoming regulation changes in UK.

Sir David Walker to shake up bank boards

The City grandee tasked with reforming corporate governance standards at Britain’s banks will this week set out plans for directors to receive formal training and annual re-election to the boards of financial institutions.

They will also address boardroom composition by stressing that boards need to have a proper balance of experience and understanding of a company’s risk strategy, and suggest that risk committees should be established alongside audit committees to aid risk management processes.

Sir David will also make a recommendation – already being dubbed “the Sir Fred Goodwin rule” by some City observers – that bank boards will need to demonstrate that they are capable of challenging an autocratic chief executive who they believe may be endangering the health of a systemically-important institution.