Labour and Lib Dem peers could force a vote to defeat government on “reverse burden of proof” in Senior Managers Regime
Labour and Lib Dem peers could force a vote tomorrow to reject the government’s plans to abandon the so-called reverse burden of proof in new financial regulation.
The Treasury had originally proposed a “guilty until proven innocent” burden on executives scrutinised under the new Senior Managers & Certification regime, which is set to go into effect next March.
But Treasury officials made a U-turn in October, saying a “duty of responsibility” would instead be applied.
Labour and Lib Dem peers, meanwhile, say the Treasury made an “outrageous decision” that will “water down banker accountability”.