BoE to tighten governance over forex fixing allegations

<p>Mark Carney announced the Bank of England is to make major changes.</p>

Governor of the Bank of England (BoE) Mark Carney has confirmed the bank will be tightening its governance in the wake of the forex fixing allegations that have dogged the BoE.

Mr Carney, who took over the role from Sir Mervyn King last year, revealed the Bank is set to create a new deputy governor position, who will have responsibility for markets and banking.

They will then carry out "a root and branch review" of how the BoE conducts market intelligence, in order to make sure no forex markets are being manipulated.

Mr Carney told MPs on the Treasury Committee: "This is as serious as Libor if not more so because this goes to the heart of integrity of markets and we have to establish the integrity of markets."

A trio of deputy governors are already in place at the BoE. They are in charge of monetary policy, financial stability and prudential regulation.

Paul Fisher, the Bank's executive director of markets, stated that the allegations of market fixing are "about traders whingeing about how difficult their life is and no one is going to have much sympathy for that".

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