We saw too much focus on short-term and legacy issues, with insufficient attention paid to consumer interests. We discovered some reversion to ‘command and control’ in leadership styles. Additionally, the banks have much more work to do to ensure their organisations are sufficiently diverse and inclusive, particularly at senior level, to prevent group-think, guard against over-confidence and promote internal challenge.
The Required Response Following on from the report, we have required the board of each bank to: investigate and assess potential drivers of these behaviours; consider what its executive committee needs to do to address these problems; and create an action plan to address the concerns identified and mitigate the associated risks.