The Independent Commission on Banking is to release its preliminary report tomorrow (11th April) and the FT is reporting that the impact on UK banks will be to ‘ring fence’ parts of the bank, presumably Investment Banking and regular ‘utility’ banking.  I read elsewhere that the further results will be regulation on activities and on capital held against the ring fenced units.  Until tomorrow.

UK banks escape radical restructuring

The Independent Commission on Banking, chaired by Sir John Vickers, is instead expected to propose that banking groups ringfence “essential” banking services, in effect building a wall around deposit-taking, small business lending and payment systems to insulate them in the event of another financial crisis.