Restricting banks now is 'barking mad' - CBI chief

The government's plans to ringfence UK banks' retail businesses are 'barking mad' and could threaten the fragile economic recovery, the chief of a leading British business association has said.

John Cridland, director general of the Confederation of British Industry (CBI), attacked plans to seperate banking operations at a time when the economy is barely growing. In an interview with the FT, Cridland said: "Taking action at this moment - this moment of growth peril, which weakens the ability of banks to provide the finance that businesses need to grow - is just barking mad." The comments come ahead of a final set of recommendations to be announced in September from the Independent Commission on Banking (ICB) which could determine the future business model banks have to follo...