The Basel Committee on Banking Supervision (BCBS) issued the Fourteenth progress report on adoption of the Basel regulatory framework. The report sets out the adoption status of Basel III standards for each BCBS member jurisdiction as of end-March 2018. It includes for the first time the finalised Basel III post-crisis reforms published by the Committee in December 2017. These recent reforms will take effect from 1 January 2022.
Complaints about payment protection insurance (PPI) drove a 13% increase in the number of complaints made to financial services firms in the second half of 2017, according to figures published by the FCA. During the second half of 2017 a total of 3.76 million complaints were received, an increase of 427,032 on the first half of the year. Complaints about PPI rose by 40% to 1.55 million, the highest level of complaints about PPI for more than four years. Continue reading…
In October 2016 the International Standards Organisation issued the ISO 37001, a new standard that organisations and companies can use to certify their anti-bribery and corruption compliance procedures. The ISO 37001 was agreed by standards bodies in 37 countries and it is already being promoted by many countries across the world. Peru became the first Latin American country to implement the standard. One reason given for this is that in 2015 the country lost nearly $4 billion because of misappropriation of public funds, bribery and other types of corruption. The government of Montreal in Canada has appointed someone to analyse and propose how to apply the principles of the ISO 37001 to the city. Earlier, Singapore’s Corrupt Practices Investigation Bureau (CPIB) launched the Singapore Standard, which is based on the ISO 37001. The standard has also been widely adopted in the Middle East and North Africa. Colin Keeney of Deloitte notes that six of the 37 countries involved in crafting the standard came from this region.
The Financial Stability Board (FSB) published Strengthening Governance Frameworks to Mitigate Misconduct Risk, which provides a toolkit that firms and supervisors can use to tackle the causes and consequences of misconduct.
Brand reputation has never been more important in influencing consumer and stakeholder decisions. At the same time, brand image can alter extremely quickly thanks to the increasingly instant nature of the media and the profile of public opinion. Witness the impact of the negative media attention on Marks and Spencer’s and their Turkish supply chain using Syrian refugees in their factories or the consumer backlash on grocery brands when suppliers’ use of forced labour on fishing boats came to light. A brand’s reputation now depends not only on the practices of their own organization, but of their entire supply chain. Effective supplier engagement is essential in order to position your organization as an ethical and responsible business and maintain stakeholder trust – but the key enabler to this is to first build transparency and visibility through due diligence and ongoing risk monitoring.