The Bank of England will strengthen its conflict-of-interest checks as part of its response to the controversy surrounding the resignation of former Deputy Governor Charlotte Hogg after just weeks in the role.
Clarity about conflict-approval processes will be improved after a review found ambiguities in BOE policies as well as shortcomings in its systems that heightened the risk of inadvertent non-disclosure by its staff. The central bank will also appoint one of its senior executives as a Conflicts Officer to take responsibility for updating procedures and plugging gaps.
Hogg’s failure to disclose her brother’s role at Barclays Plc, an institution she would have helped supervise as deputy governor for markets and banking, led to renewed criticisms of the BOE’s appointment procedures for senior staff and prompted the review by the non-executive directors of the BOE’s Court of Directors.
Governor Mark Carney said the recommendations will be “implemented in full.” The central bank said a number of improvements to pre-appointment conflict checks had already been made since Hogg’s resignation.
These changes would be made permanent, it said.