Tough talk from new financial watchdog

THE head of the UK’s new financial watchdog has warned top bankers that they will be “held to account” for any future abuses in the financial system.

Martin Wheatley, who will head the Financial Conduct Authority (FCA), warned that many in the City of London were facing a wake-up call.

The FCA replaces the Financial Services Authority (FSA), which came under fire over its perceived impotence during the recent financial crisis.

Mr Wheatley has accused many bankers of avoiding responsibility for misconduct by hiding behind committee management and raised the prospect of US-style prosecutions. “If there are failures in the future we want individuals held to account,” Mr Wheatley said.

The FCA will have the power to launch raids on City offices and bring prosecutions.