- rate - loan - facilities - for - glaxosmithkline - plc the working group of sterling risk - free reference rates website is available at : https : / / www. bankofengland. co. uk / markets / transition - to - sterlingrisk - free - rates - from - libor all speeches are available online at www. bankofengland. co. uk / news / speeches and @ boe _ pressoffice either. a benchmark based on guesswork can ’ t be relied upon to behave in your interests at times of stress. we saw a vivid illustration of just that in march, when the bank of england and the federal reserve both cut official interest rates sharply, but libor rates actually rose – at a time when transactions underpinning those measures were near - zero. it really is time to get off that failing bridge before it closes for good. we ’ re here to help, and i look forward to our discussions here this morning. all speeches are available online at www. bankofengland. co. uk / news / speeches and @ boe _ pressoffice

government has legislated to extend the sm & cr to all other fsma authorised financial services firms. as a first step, the government will extend the regime to insurance firms from 10 december 2018 and will confirm when the regime will be extended to firms regulated solely by the fca in due course. the hong kong securities and futures commission implemented a manager in charge regime ( micr ) ; the australian parliament has recently passed legislation establishing a bank executive accountability regime ( bear ) ; and the monetary authority of singapore has published proposed guidelines on individual accountability and conduct the fsb report on strengthening governance frameworks to mitigate misconduct risk can be found here : http : / / www. fsb. org / wpcontent / uploads / p200418. pdf all speeches are available online at www. bankofengland. co. uk / speeches that ’ s why the bank and the fca are taking a proactive, forward - looking approach to identifying vulnerabilities in hard and soft market infrastructure. we see this as core to our institutional responsibilities. indeed, the bank has made catalysing structural reforms in financial markets, such as the new risk - free benchmarks that i ’ ll turn to in a moment, one of its core strategic goals. but the authorities cannot future - proof alone. we rely on industry to help us scan the landscape for emerging risks and to help determine ways to mitigate them. we are encouraged by your efforts. in particular, the fmsb is undertaking horizon scanning for future misconduct risks through its innovative behaviour cluster analysis ; and the global foreign exchange committee, which is responsible for keeping the fx global code ‘ alive ’, has already identified areas of further work on spot fx market practices. with the leaders of the industry here, we hope that today ’ s discussions will identify emerging risks and challenges, and explore how we can all work together to address potential vulnerabilities as we continue to build real markets for the good the people of the uk and beyond. in this spirit, before concluding, i want to briefly touch on one of the biggest challenges facing us right now – the transition to risk free rates. the move to new risk free rates libor is a prime example of critical hard ( market ) infrastructure that has not kept up with market developments. libor is meant to measure the short - term unsecured funding costs of banks. but the reality is that, since the financial crisis, libor really has become the rate