Mr. Ed Sibley:

The ECB is the prudential regulator but it does not have the dual mandate we have. The discussion would tend to focus on the prudential perspective but it would also be a leading indicator in terms of governance arrangements within a firm. It is looked at both from a governance perspective and also from a safety and soundness perspective. There is also consideration of the business models. If we think about what the firms are saying about the primacy of the customer and whether that transpires in their behaviour, it is a legitimate question for a prudential supervisor to ask as to whether they are operating in a sustainable fashion. That is where we are trying to push very hard in our interaction with the banks.

The groups of people with known disputes arise typically where the bank sought legal advice and indicated they are on legally solid footing in deciding there is no need to offer any redress or compensation. We are pushing on the basis that whereas that might be legally correct, it is the wrong outcome for the customer. It is inconsistent with the statement-----