Robert Goddard reports:
Martin Wheatley, the chief executive designate of the new Financial Conduct Authority and current head of the Financial Services Authority's Conduct of Business Unit, delivered a speech today in which he spoke about his review of LIBOR and the publication of a discussion paper. The paper, available here (pdf), seeks views on possible reform options and makes clear that retaining LIBOR in its current state is not viable. The paper also states that alternative benchmarks that can take on some (or all) of the roles currently performed by LIBOR should be identified and evaluated.
Query whether the UK should be solely responsible for LIBOR, given its global importance. But their track record is pretty good, Barclays et al. not withstanding, so it could be in worse hands. Like, for instance, ours.