Advisers close to Cable said the business secretary would not accept any delay in bank reform, according to the Financial Times.
It was revealed by the paper last week that Chancellor Osborne was considering a plan to endorse strict ringfencing while giving banks a long timeframe – probably until 2019 – to implement the rules.
Treasury officials told one senior banker they believed the compromise being considered by the chancellor would satisfy Cable’s demand for meaningful banking reform. However, it would also give the sector some breathing space by pushing back the deadline for implementation to 2019.
But advisers to Cable said nothing had been discussed as they signalled that the business secretary was determined to stick to his guns and press for speedy implementation of Sir John Vickers’ report, according to the FT.
