Banking Reform

Nia Griffith Excerpts

Thursday 17th June 2010 Commons Chamber

[Mr Hoban]

My hon. Friend makes a good point about the role of insurance. In this crisis, we must ensure that we distinguish between what has happened to the banking sector and the relative success of the insurance sector in withstanding the storms of this crisis. It is an important sector to the UK economy and a huge wealth generator. We need to ensure that the insurance sector, when it comes within the remit of the PRA, has the right sort of prudential regulation that recognises its strengths and challenges. It will of course be regulated as regards its relationship with consumers by the CPMA.

[Nia Griffith (Llanelli) (Lab)]

The people of this country want to see a bit of humility and payback on the part of the banks. One opportunity to do that would be through the so-called Robin Hood tax on banking transactions, with the money going to alleviate poverty here and to tackle climate change across the globe. Will the Financial Secretary urge his right hon. Friend the Chancellor to introduce such a tax and to influence colleagues worldwide to do likewise?

[Mr Hoban]

I must say that I think that some humility should be shown by the Opposition Front Benchers for landing this country with a system that led to the longest and deepest recession since the 1930s.