Most Senior British MP Demands Glass-Steagall
June 27, 2013 • 7:33AM

The currently longest-serving Member of the British House of Commons has come out publicly demanding the creation of full bank separation as under the American Glass- Steagall Act.

During this week's questioning of Chancellor of the Exchequer George Osborne, Tory MP Sir Peter Tapsell declared, "After a lifetime as a stock broker and fund manager, my instinct as bond yields rise all over the world is that we are heading for another banking crisis which will certainly choke off the already inadequate lending of banks to small businesses. My dismay is, you have not yet committed yourself to the total separation of investment and commercial banks, which I have been urging on you ever since you became Chancellor. I am absolutely convinced if we do not go back to something approaching Glass- Steagall, it will be an absolute disaster when the next banking crisis hits us."

Osborne replied by citing the Vickers recommendations and the inter-parliamentary commission recommendations for ring fencing and so-called electrified ring fencing, in effect, dodging the question. The Tapsell call for Glass-Steagall has received widespread media coverage, given his seniority and stature.