Join NTT DATA at the FT Banking Summit 2016
This year’s event promises to be engaging and insightful.
For many banks, attempts to get the banking sector “back to normal” after the 2008 financial crisis have felt like the curse of Sisyphus; their boulders made all the heavier by regulatory demands, public opinion and outmoded IT systems. Yet, despite the (cautious) optimism shown by the US Federal Reserve’s interest rate raise, the banks’ burdens show no sign of easing.
In recent days, however, many crises and challenges have faded into seeming insignificance, as the world wakes up to a post-EU Britain and a post-Britain EU. Beyond its impact on the global stock exchange and the downgrading of the UK’s credit rating, this new upheaval has led to major political instability on both sides of the channel. Yet, whilst figures such as Angela Merkel seek to downplay the EU’s desire to punish the UK, the financial sector must survive in limbo, preparing for potentially radical changes in trade tariffs, freedom of movement, taxes and interest rates.
Against this background, striking the right balance between political appeasement, investment, retrenchment and regulation – both in the UK and EU – will be vital. To cope in this environment will be challenging enough. To thrive will demand all the agility and resilience the banks can muster.