British lawmakers called on Chancellor of the Exchequer Alistair Darling to impose tougher rules to curb excessively risky practices at large banks, saying existing policy changes do not go far enough.
Plans for "evolutionary reform" of banking rules fall short of protecting society from institutions deemed "too big to fail," Parliament's Treasury Committee said in a report Monday. It demanded Darling look again at splitting retail deposit operations from riskier investment banking.
"We can never guarantee failures will not occur again," said John McFall, a ruling Labor Party lawmaker and chairman of the cross-party committee.
"It is crucial therefore that in addition to improving risk management, regulation and raising capital and liquidity requirements, wider structural reform remains on the agenda."