The Bank Of England And Its Financial Regulatory Legal Reform (1979-2016)

Since the establishment of the Bank of England in 1694,the Bank of England has acted as the lender of last resort in the economic crisis.The Bank of England Act 1946 nationalized the Bank of England,making the Bank of England officially the British central bank.In previous crises,in addition to acting as the lender of last resort,the Bank of England mainly used other banks to stabilize the British financial market through "moral counselling" or by reaching "agreement between gentlemen." It is precisely because of the mutual trust of such banks that this informal supervision can continue to the establishment of the UK's single statutory regulatory system.Prior to the Banking Act 1979 and the Banking Act 1987,although both emphasized the duty of statutory supervision of the Bank of England,and this duty was continuously strengthened,in fact,self-regulation and statutory supervision were combined until the 1998 The Bank of England Act was promulgated and the Bank of England 's supervisory power was divested.All supervision was concentrated on the Financial Services Authority(FSA).This self-regulatory supervision and statutory supervision combined with supervision came to an end.From the promulgation of the Banking Act 1979 to the implementation of the Bank of England and Financial Services Act 2016,the UK financial regulatory system has undergone many reforms.These reforms are inseparable from financial innovation and international financial cooperation.Especially under the global financial crisis,it is impossible for any country to remain unaffected.These are testing whether a country's financial regulatory system can withstand these unknown risks.If financial regulation is likened to a skill,then in the face of the crisis,skills can only be continuously improved.The British financial supervision system has been in the cycle of crisis control since the beginning of statutory supervision in the United Kingdom,and has continued to change.In the 37 years from 1979 to 2016,the United Kingdom went through many legislative and financial regulatory system reforms.The supervision function of the Bank of England has also undergone a return from informal supervision-statutory supervision-separation of supervision functions-the return of supervision functions,and the UK supervision system has also changed from a separate supervision system to a three-party mixed supervision system.Peak regulatory system.It can be seen from the separation and return of the Bank of England 's regulatory functions and the evolution of the regulatory system that the reform of the UK 's financial regulatory legal system has been in an open dynamic change,and the reason for this change is that financial security and financial efficiency have been In a game,if the balance between the two is constantly broken,it will cause the financial market to fall into a cycle of chaos and affect the stability of the financial order.Coupled with financial liberalization and global economic integration,a variety of financial innovations and financial derivatives have emerged,making financial supervision more complicated and more difficult.It is not difficult to find from the history of British legal reform: under the trend of financial liberalization,regional development integration,and economic globalization,strengthen supervision and diversification cooperation and consumer protection,strengthen macro and micro prudential supervision,and continuously improve the supervision system with an open mind.Is the best response to risk prevention.