As Elizabeth Corley highlighted, there is a disconnect between how we in finance – and I include the public sector here – see the sector and how the general public sees the sector. Interestingly, that disconnect is much less prompted by questions over the health of our banks. Alex Brummer made this same point in terms of a sense of optimism around institutions. That is a good thing because a tremendous amount has been done over the past seven years in order to make banks much stronger. I will not go into all the details, but banks are indeed now beginning to adjust their business models. I’ll add a very clear message on behalf of those of us on the regulatory side to the bankers in the room and those watching from outside: there is no Basel IV. There is no other big wave of capital regulation coming. With the agreement on Total Loss Absorbency Capacity, the last pieces of the puzzle have been put in place. It is true that we do have to make some adjustments to risk weights; and there will always be things to iron out, but I repeat there is no big other prudential regulatory wave for the banking sector. As Andrew Bailey made clear in one of the break-out sessions I attended, the focus now is about greater certainty and adjusting business models to these new realities.
BIS central bankers’ speeches  3  And that is a good challenge for us at the Bank as well as the broader official community when explaining what’s happening and how the system works. Lack of understanding leads to disengagement, which in turn leads to mistrust. Let me conclude by thanking the huge range of people across the country who really did engage, who did spend the time here with us today. The long-term reward of course, is a more resilient financial system that better serves the needs of society. In the short-term, I hope you will join us for a quick drink in the Crypt of this fantastic building. For those of you in Edinburgh, Alex Brummer would be happy to stump up. And for those of you at home, I hope you will join us in spirit with a drink at your local pub – put it on the Bank of England as a form of quantitative easing. 4  BIS central bankers’ speeches