Fifth Special Report - Lessons from Greensill Capital: Responses to the Committee’s Sixth Report of Session 2021–22

This is the government's response, published 24 September 2021.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The Chancellor's letter responds to the Committee's key recommendations by setting out areas of ongoing Treasury work and some points of disagreement, while stating that the department "acted entirely appropriately in relation to Greensill".

• On securitisation, the Chancellor considers applying the Securitisation Regulation to supply chain finance loans "would in my view be inappropriate", but says the Government, in consultation with the regulators, "will consider" whether any new requirements or guidance might usefully apply.
• On appointed representatives, the Chancellor welcomes the recommendation. The Treasury has started a review, will consider legislative reforms "that may be necessary", and "plans to issue a Call for Evidence".
• On changes of control of banks, HM Treasury is working with the PRA and the FCA to consider how applications are dealt with and "what changes might need to be considered".
• On the Boardman Review of supply chain finance, the Government "will carefully consider its recommendations" and set out a policy statement "in due course". On deleting records from mobile devices, it considers the balance of risk "falls decidedly in favour of retaining the security feature".

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