Wednesday 12 December 2018

City watchdog ‘content’ to publish full report into RBS’ restructuring unit

It marks a U-turn for the FCA which had previously refused to publish the report in full.

Andrew Bailey
Andrew Bailey

By Kalyeena Makortoff, Press Association City Correspondent

The City watchdog has confirmed plans to publish the full report detailing failings at Royal Bank of Scotland’s controversial restructuring unit after the bank’s bosses said they would not object to its release.

Financial Conduct Authority (FCA) said it was “content” to do so on the basis that RBS would not block the move, and would start approaching individuals identified in the report to grant their permission.

It marks a U-turn for the Financial Conduct Authority (FCA) which had previously refused on grounds that the skilled persons or Section 166 review – which collects insight about a firm’s activities from third parties – would mean revealing confidential information about the individuals who contributed to it.

But the FCA changed its mind just hours after Treasury Select Committee chair Nicky Morgan pushed RBS bosses on whether they would give permission for the report’s release.

Mr McEwan told MPs on Tuesday: “Should the FCA want to report it, we will not object.”

“I will let Andrew Bailey know that as well.”

Up to this point, only a summary had been provided by the FCA, despite its leak to the likes of the BBC.

In its own statement the FCA said: “The FCA welcomes the statement by Royal Bank of Scotland, given at today’s Treasury Committee hearing, that they will not object to the FCA publishing the s166 report into the treatment of small and medium-sized enterprise customers transferred to its Global Restructuring Group.

“On this basis, we are content to publish the s166 report.

“To do so will also require the consent of those who provided the information in the report and any individuals who are identified.

“We will approach these individuals, once the work on the focused investigation is completed, to ask for their consent to publish.”

Press Association

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