The International Banker Summer 2025

THE MAGAZINE OF THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
The
International
Banker
A fruitful year at WCIB
OUR COMPANY IN ACTION IN 2025
SUMMER 2025

INTRODUCTIONS
SUMMER 2025
Capital Letter
CONTRIBUTORS
BURHAN ALI*
MARSHALL BAILEY OBE
MARK BERMAN
ALISON COTTRELL*
PAUL DARROCH GRODEN*
NICK GARNISH*
NICHOLAS GRANT
PETER GREEN
MARK HENTHORNE*
ANEESA HUSSAIN
RANJITH KUMAR
GEORGE LITTLEJOHN*
ALDERMAN MICHAEL MAINELLI
ROBERT MERRETT*
JAMES NISBET
SIR DAVID OMAND GCB
HENRY POLLARD
MADISON REAMSBOTTOM*
CAROLE SEAWERT*
KATE SHCHEGLOVA
TIM SKEET*
ALEEM WALLANI
SHAMILA WHELAN
*Editorial Panel members
THE WORSHIPFUL COMPANY
OF INTERNATIONAL BANKERS
WAX CHANDLERS’ HALL
6 GRESHAM STREET
LONDON EC2V 7AD
CLERK: CAROLE SEAWERT
DIRECT LINE: 07538 230438
EMAIL: clerk@internationalbankers.co.uk
www.internationalbankers.org.uk
The Mansion House Accord poster firm
This October, Sir Douglas Flint will
be the latest in a line of the world’s
most eminent international bankers
to address our Installation Banquet.
He was for many years a leading
figure at HSBC, 15 years as Group
Finance Director then seven as Group
Chairman. He has advised – and still
advises – governments from London
to Beijing to Shanghai and Singapore,
and beyond, on a wide range of issues.
He is now Chairman of Aberdeen
Group, one of our largest international
asset managers.
He is also Chairman of IP Group, an
enervating FTSE-250 business that
seeks to evolve great ideas in science
and technology into world-changing
businesses. And it is in this role that
he is at the heart of the Mansion House
Accord mission, lighting the path to
delivering the high-growth investments
that will be key to the Accord’s – and
our nation’s - success.
As most will know, this scheme is
designed to channel more longterm
investment into UK businesses,
particularly those with high growth
potential, while aiming to improve
pension outcomes and strengthen the
UK’s financial ecosystem. The WCIB
is central, alongside City of London
Corporation and the Chartered Institute
for Securities & Investment, in a
campaign to improve understanding
of pensions and their potential across
that ecosystem.
IP Group, something of a poster child
in the Accord programme, has been
backing and growing science and
technology-based businesses for over
20 years, many spun out from leading
universities round the globe. Alongside
its expert partners, it supports visionary
companies with access to capital as
well as the essential expertise and
insight that help accelerate the impact
of science for a better future. Its
teams have built strong technical and
business-building expertise across life
sciences, cleantech and deeptech.
Navigating the strategic and commercial
challenges involved with nurturing
fast-growth businesses will be one of
the key opportunities and challenges in
bringing the Accord to fruition, which is
why the government has committed to
developing a pipeline of UK investments
to support its delivery.
For more coverage of how the
Company is helping develop this
vital programme, keep an eye on our
Linkedin page. And if you’d like to be
involved – and particularly if you have
bright ideas that could help the Accord
move further and faster, then do get
in touch.
George Littlejohn
Editor – The International Banker
george.littlejohn@cisi.org
2 THE INTERNATIONAL BANKER / SUMMER 2025

INTRODUCTIONS
Contents
INTRODUCTIONS
The Master: A year of growth
and engagement 4
The Mansion House Banquet 2025 6
LOOKING OUTWARDS
Pioneering in pensions and growth 8
The power of individuals to make
or break banks 9
Britain: the next pensions superpower? 12
Strengthening UK growth 15
AI: balancing algorithms and ethics 16
WCIB signs Armed Forces Covenant 18
Jersey and Guernsey: 2,000 years of safe
harbour, and now a trillion dollars 20
The role of the City’s Chief Commoner 22
Crisis? Which crisis? 24
Risk Live: Navigating the abundance
of risks in global banking 28
Moments in time: a City turning point 30
Strengthening digital resilience 32
Planning your own replacement 33
CHARITY & EDUCATION
Broking a first-class future for the many 34
LOOKING INWARDS
A glittering array of WCIB events 35
Balancing innovation and regulation 38
WCIB Associates and Guild
of Young Freemen 40
Autumn events programme 41
The workings of the Finance Committee 42
The Journey to Livery Scheme 43
A welcome from the Clerk 43
MORE REGULAR NEWS ON
THE WCIB LINKEDIN CHANNEL
Join the many WCIB members who are already part of the
exclusive WCIB LinkedIn group, to share news and contact
each other directly. Sign up swiftly here: bit.ly/WCIBlinkedin
If you have the LinkedIn app on your
phone, you can use this QR code.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 3

INTRODUCTIONS
A year of growth and engagement
MASTER NICK GARNISH REPORTS ON A FRUITFUL YEAR FOR THE COMPANY AND ITS MEMBERS
As we reflect on the recent months and look ahead, I am
delighted to share an update on the activities, achievements,
and aspirations of the Worshipful Company of International
Bankers (WCIB). The past months have been marked by
significant milestones, vibrant events, and a renewed focus
on our core values of fellowship, charity, education, and
promoting the financial services profession within the livery
and our wonderful City.
MEMBERSHIP AND FELLOWSHIP
We have built on our recently strengthened administrative
foundations, and our membership continues to thrive, with
over 114 new members joining since the Installation Dinner
in October 2024, bringing our diverse and relatively young
membership to around 750. This growth is a testament to the
vibrancy and relevance of our Company and profession.
A recent membership survey revealed that
over 96% of respondents would recommend
WCIB to others, underscoring the value we
bring to our members.
ENGAGING WITH AND PROMOTING THE CITY
Our active participation in the City of London’s civic life
continues to strengthen our presence and influence. From
the Silent Ceremony, the Lord Mayor’s Show, the Garden of
Remembrance to discussions with the Lord Mayor on the
Mansion House Compact 2.0 which aims to unlock capital for
growth and innovation in the UK economy. We also convened
a private lunch with the Lord Mayor and Acting Chair of the
Securities Exchange Commission.
WCIB remains committed to promoting
the City as a global financial hub whilst
simultaneously strengthening relationships
with other livery companies and City
institutions through collaborative events and
meetings. We remain an integral company of
the Financial Services Group of Liveries.
GROWTH UNLEASHED EDUCATIONAL ALLIANCE
The survey also highlighted the importance of our events,
charitable initiatives, and professional development
opportunities. We will work to do more here.
CHARITY AND EDUCATION: DRIVING IMPACT
We were delighted to become involved as one of the early
leaders and first signatories of an important educational
alliance, convened by the Lord Mayor, to help support his
Mansion House Accord on UK pension fund investment.
Full details of this excellent initiative on the following pages.
Charity remains at the heart of our mission. This year, we
plan to distribute around £200,000 to charities, supporting
causes that align with our focus on social mobility, younger
generations, education, and financial literacy. Our relationship
charities, including The Brokerage and School-Home Support,
continue to make a significant impact – our continued growth
will enable WCIB to have an ever-growing impact on these
and other worthy causes.
Of course, members also contribute with expertise and
their valuable time. Examples include the Lombard Prize
and the Schools Essay Prize and Debating Competitions
which recognize excellence but also inspire critical thinking
and public speaking skills among young people. Recently, I
have engaged an actuary from the Worshipful Company of
Actuaries to examine the governance of our charitable trust.
To be clear, we anticipate a clean bill of health, but it will be a
useful (and inexpensive) exercise.
4 THE INTERNATIONAL BANKER / SUMMER 2025

INTRODUCTIONS
MILITARY PARTNERSHIPS
Our military affiliations remain a source of pride and
inspiration. I proudly signed the Armed Forces Covenant
onboard the historic HMS Belfast. This milestone underscores
our dedication to honouring those who serve, and our
recognition of the sacrifices they make. I would encourage
all our member firms to consider signing this as well, and to
help create pathways for veterans to transition into successful
careers in banking and finance.
LOOKING AHEAD: OPPORTUNITIES
AND ASPIRATIONS
As highlighted in my speech at the Mansion House Banquet,
growth is the lifeblood of progress. The City of London
remains a global leader in financial services, with a trade
surplus of £92 billion in 2023. However, challenges such
as regulatory complexity and modest UK growth forecasts
require us to adapt and innovate. By embracing opportunities
in sustainable finance, fintech, and new markets, we can
ensure the City remains a force for progress and prosperity.
As we move forward, our focus remains on growth (for
both the City and the Company), innovation, efficiency, and
inclusivity. Risk is an inherent part of our industry, but it must
be measured, understood, and managed.
Good decision-making, guided by values, is essential to
maintaining public trust and driving sustainable growth.
As I noted in my speech, regulators play a critical role in
balancing risk, innovation, and prudence. We must continue
to advocate for smart, appropriate regulations that safeguard
stability while enabling growth.
Many people have asked me this year: how is the Company
attracting so many new members? My answer is simple. There
are more than 600,000 people working in the City and around
200,000 of these are employed in financial services. I think
the question should be: why do we only have 750 members?
We will continue to evolve and improve – adding to our
programme of events (both business focused, civic and
of historical interest); we will make further investments
to drive efficiency in our operations. We have also made
subtle changes to modernise; for example, the Liveryman’s’
Committee is now the Livery Committee.
A NOTE OF GRATITUDE
I extend my heartfelt thanks to our Clerk, Carole Seawert,
and her dedicated team, including Anita and Alison, for their
tireless efforts behind the scenes. I also wish to acknowledge
the invaluable contributions of our volunteers, from mentors
and essay judges to event organisers and committee
members. Your passion and commitment are the lifeblood of
our Company and our continued success.
CLOSING THOUGHTS
The Company is in excellent health, but we are not resting
on our laurels. Together, we will continue to build on our
strong foundations, ensuring that WCIB remains one of
the most successful and relevant livery companies in the
City of London. Thank you for your continued support and
commitment. I look forward to seeing many of you at our
upcoming events.
Nick Garnish, Master, International Banker
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
5

INTRODUCTIONS
The Annual Banquet
at Mansion House
6 THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
MEMBERS AND GUESTS CELEBRATED THE COMPANY’S
SUCCESSES AT THE MANSION HOUSE IN FEBRUARY 2025
All photos © Sillet Photography
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
7

LOOKING OUTWARDS
Pioneering in pensions and growth
WCIB LEADS IN NEW EDUCATIONAL “ALLIANCE” TO HELP DRIVE THE MANSION HOUSE
ACCORD AND BOOST LONG-TERM SAVINGS AND UK GROWTH
A new educational project in which WCIB plays a key part
aims to help turn the UK’s pension capital into a powerful
engine of sustainable growth - unlocking investment,
improving outcomes for savers, and strengthening the UK
economy for the next generation. This new “Unleashed
Learning Alliance” is an agreement between WCIB, the City
of London Corporation and the Chartered Institute for
Securities & Investment (CISI), representing a coalition of
educational and professional bodies.
The Alliance has been formed to provide a programme of
activity to support education and understanding of the
Mansion House Accord. This was signed in May this year
by 17 major UK pension providers, aiming to unlock up to
£100 billion of investment for major infrastructure projects,
clean energy, and exciting scale-ups.
The Alliance agreement was signed on 11 July 2025 by
Master Nick Garnish, the Lord Mayor of the City of London
Alastair King and CISI CEO Tracy Vegro OBE (pictured
below). It is a shared commitment to develop and deliver
a programme of activity to support education
and understanding of the Accord.
The Master, a long-time member of the CISI and former
Chair of its Risk Forum Committee, said: “Growth is critically
important, so I am delighted to join the group which was
convened by the Lord Mayor. The aim is to improve education
and engagement associated with risk and risk management,
within this ecosystem, to help unlock growth opportunities
and illustrates the power of education to change lives and
generate better outcomes.”
The Lord Mayor added: “This ‘Growth Unleashed Learning
Alliance’ has been magnificently supported by the CISI and
the WCIB, and backed by the Chartered Body Alliance, other
leading professional bodies, and universities. The Plan will give
pension trustees, managers, and policymakers throughout
the pension value chain the tools and the confidence they
need to invest more productively.
the Chartered Body Alliance, which is aligned to the Lord
Mayor’s Growth Unleashed mission, and is a sector response
to UK financial services market uncertainty and questions
around risk. We look forward to working with and supporting
CISI Honorary Fellow and Lord Mayor of the City of London,
Alastair King as convener of this innovative alliance of
educational and professional partners. We will work towards
accelerating the adoption of the Mansion House Accord,
developing a targeted learning and engagement programme
across the pensions and investment ecosystem."
The Learning Alliance will collaborate on the design and
delivery of a UK-wide programme aimed at:
• Raising awareness of the economic and member benefits
of investing in private markets
• Enhancing trustee and professional capability across
pensions governance and portfolio construction
• Aligning policy objectives with investment practice through
high-level dialogue and briefings
• Supporting adoption through real-world case studies,
technical guidance, and peer learning
The UK-wide programme will include:
• CPD-accredited modular training
• Executive roundtables and briefings
• A national UK insight and innovation series
• Practical toolkits and decision frameworks
Programme delivery will begin in autumn 2025.
For more information and to become involved in this
exciting programme, please contact WCIB Liveryman
George Littlejohn, Editor of The International Banker
magazine and Senior Adviser to the CISI:
george.littlejohn@cisi.org
“Wonderfully, these professional bodies have committed
to offer this training at cost, to benefit the British economy.
That is a real commitment from them for which I am most
grateful. Our Accord, Pensions Pledge, and education plan
represent bold commitments from the financial industry
to serve others before it serves itself...but we can go
further to help British households secure their long-term
financial security.”
CISI CEO Tracy Vegro OBE said: “We are excited to be leading
this new initiative along with our partners in the WCIB and
Tracy Vegro OBE, CEO of CISI, with
the Lord Mayor and the Master
8
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
The power of individuals
to make or break banks
MARSHALL BAILEY DELIVERED AN ELOQUENT APPEAL FOR BETTER MANAGEMENT AND PERSONAL
RESPONSIBILITY IN HIS FEBRUARY 2025 SPEECH AT THE MANSION HOUSE BANQUET
I promised to talk this evening about
a topic that is crucial to the ability of
the banking sector to unleash growth
in the United Kingdom: good strategic
leadership, and good decision-making.
Our ability to make sound decisions
is paramount. It not only affects the
profitability of banks, but also therefore
the broader economy, the lives of our
population, and the trust of the public.
In banking, very little matters more
than that public trust.
Back in the1990s, when I was a young
buck trying to find my way, there
were five major Canadian banks, all
competing with each other. In most
ways, they were pretty much identical:
they all had access to the same clients,
had the same capital and regulatory
framework, and quite rudimentary, but
similar, technology.
They differentiated themselves only a
little in their overall strategic ambition.
But they didn’t all have the same
results. The one major difference they
had, of course, was their people, and
the way they organised those people to
make decisions. We didn’t use the word
“culture” then, but each of these five
banks definitely had their own culture.
And they were proud of it.
If you fast forward 30 years to today,
there are still five major Canadian
banks, but they are vastly different
in their success, and their total
shareholder return. The difference
in their success is in their strategy, in
their people, and in their decisionmaking.
Now, due to some excellent
leadership over the past decade, some
are catching up, but famously, just
last year, one of them has been in $3
billion worth of compliance trouble. A
lack of governance meant a $3 billion
fine. That has translated into a $100
billion market cap gap that has opened
up between the first and second place
banks. That translation of a fine into
corporate value is worth researching,
as it will illustrate one form of value
destruction when getting things wrong.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
9

LOOKING OUTWARDS
Over the past 20 years, the biggest
Canadian bank has had a total
shareholder return (TSR) of around
745%, whereas the 5th biggest had
a TSR of about half that, at 370%,
even though they were playing on the
same field. If we look internationally,
(and you’ll forgive me for not naming
names) the largest Japanese bank
has had a 20 year TSR of only 100%,
and a number of banks have had a
20-year TSR that is negative, not yet
able to recover from the 2008 crisis.
All the while, the largest American
bank had a 20-year TSR of a whopping
1,100%. That is simply stunning. That
is leadership, and decision making,
reflected in numbers. What will it be
for them once everyone stops working
from home?
What is true for Canadian
banks is of course, true
for all. Some of the most
legendary banks completely
disappeared in the 2008
financial crisis, and this
continues to be a risk.
Bad decision-making at board level is
costly. As IMD research has shown,
governance failures usually occur in
one of four areas: risk management,
strategic oversight, executive and nonexecutive
relationships, and fourthly,
integrity. Such failures can lead to
significant corporate downfalls. Credit
Suisse serves as a striking example,
where inadequate oversight, and risk
mis-management, played a pivotal role
in its collapse. If you’re under the age
of 45 I urge you to read as much as
possible on this topic. If you’re over the
age of 45, I’d urge you to write as many
books on the subject as possible. We
have so much memory and experience
to preserve. Yet there are already many
great books available. The best banks
always, the stories show, always put
their customers first.
Many boards remain stuck
in a compliance-first mindset,
avoiding difficult, but
necessary conversations, and
failing to anticipate emerging
risks. This reluctance leaves
organisations vulnerable
to governance blind spots,
poor succession planning,
and ethical lapses, ultimately
threatening corporate
survival.
Of course no one individual person
would claim to be the reason for such
varied performances, but absolutely
everyone in our field has a substantial
part to play in future outcomes. Your
own personal conduct and behaviour
has more influence than you might
think, and you don’t need to be a
member of the global executive
team to make a difference. The way
you think, and your contributions to
decision-making in your place of work,
will filter down to your overall results.
Have no doubt about the significant
part each of you play, every day, to
unleashing the growth potential in the
financial sector in Britain.
In recent years, the role of data and
technology in decision-making has
become increasingly significant, as
banks now have access to vast amounts
of data, which can be leveraged to
gain insights into customer behaviour,
market trends, and potential risks.
Advanced analytics, and artificial
intelligence, are being used to enhance
decision-making processes. This also
has changed the human element, as
more data has made human decisionmaking,
even more important. My hope
is that more cerebral communicators
will triumph, where brawn and bravado
once ruled. A more inclusive and
balanced leadership group is emerging,
and this is very welcome indeed.
SO HOW DO YOU MAKE GOOD
DECISIONS?
What can I do, or better said, what
can you do, personally, to effect a
positive change? The answer lies in
a culture of both trust, and effective
challenge. Hire the best people you
can at all levels, continuously educate
them, and empower them to do their
jobs well. Spend time developing each
others’ strengths. Cross-pollinate your
teams, as some might say. For example,
the best thing an active trading desk
10
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
can have, is an excellent internal audit
partner. The best thing a corporate
banking team can wish for, is a skilled
compliance department, and effective
risk management.
Bring your opposite numbers to the
table, establish a culture of trust and
transparency, set aspirational goals,
and don’t give anyone either too much
authority, or a free ride. Ensure that
everyone knows they have to try out
for the team every year, and try to keep
your best players on the field as long as
possible. Leaders need to set the right,
unifying, and inspirational tone.
As the past Chair of the Financial
Services Compensation Scheme, it
would be remiss of me to not speak of
consumer protection, and the role of
regulation. There needs to be a better
balance between consumer protection,
and consumer responsibility. Using
easy-to-understand language, we need
to educate people about risk. We
need to enable those that can to take
suitable risks, and to do it with their
eyes open. We need to educate people
on these concepts, even at a basic
level. For example, journalists often
confuse savings and investment, which
is irresponsible. They are not the same
thing.
In my view, the way that our financial
advice market is set up is not right:
we have tens of thousands of private
financial advice companies that are
really only the proverbial man and a
dog, and it’s from this sector that over
80% of compensation claims come.
Levels of financial literacy are low in
Britain. According to the self-titled
Financial Inclusion Commission,
12.5 million UK adults have little or
no confidence in their ability to manage
money, and a shocking 22% of adults in
the UK have less than £100 in savings.
One in five adults would not be able to
cover more than one month of living
expenses if they lost their source of
income, and 16% are borrowing to pay
for essentials because they have run
out of money.
By contrast to the UK, as I saw in a
recent visit to Sydney, the Australian
SuperFund market structure caters
to all Australians, by law, and every
taxi driver and restaurant waiter I
spoke with knew exactly the size and
performance of their pension pot.
Financial education is mandatory, via
large, well-capitalised and governed
corporations. We in Britain must
reform our market structure, and it is
up to us, to help the government, to
do it. We here in the City of London
and all across the UK have some of
the finest human talent on the planet.
Collectively, we must continue to work
with our regulators and government
to enable the best possible framework,
and help them to make the right
decisions for our population, and for
the future. If the Australians can do it,
we can too. Why not? Our government
should set this up by law, but we
bankers and asset managers do not
need to wait for them to influence
these better outcomes. Let’s start
in the morning. It would be the right
decision to take.
So, in conclusion: Remember, with the
right decision-making, you and your
teams can soar.
Your strength as bankers
lifts up the whole country.
Banking exists to facilitate
economic growth, and
wealth, for clients. Put good
customer outcomes first.
Always. And make sure that
every discussion and decision
you take, is about putting
your clients first.
Marshall Bailey OBE, CFA is Board Chair
of the CFA Institute, and a Freeman of the
Company. He has substantial experience of
leading complex international committees
and boards. His background spans a
range of sectors, including banking and
capital markets, insurance, and regulation.
His career spans over 30 years on three
continents. In June 2018, he was made OBE
for his contribution to financial services,
and to charity. He cares passionately about
financial literacy, market confidence, and
good outcomes for investors.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
11

LOOKING OUTWARDS
Britain: the
next pensions
superpower?
MADISON REAMSBOTTOM DELVES
INTO THE MANSION HOUSE REFORMS
TO PROBE WHETHER THE UK CAN JOIN
COMMONWEALTH CONTEMPORARIES
AT THE TOP OF THE PENSION LEAGUES
The Mansion House Accord, launched May 2025, builds
on 2023’s “Compact” to help UK pensions reform move,
in the Lord Mayor’s words, “further and faster”. The
WCIB, alongside the Chartered Institute for Securities &
Investment and City of London Corporation, has launched
an “educational alliance” to help support this major initiative.
Those following conversations on Defined Contribution (DC)
and Local Government Pensions Schemes (LGPS) reform
will be well aware of the complexities. Our guide in this field
is Court Assistant Madison Reamsbottom, who penned
this piece on the Australian and Canadian experiences just
as the new Accord was launched – and just before heading
off to bring a new person into the world (on which huge
congratulations to both!). She will be back on these pages
shortly as the programme develops. Editor
The Mansion House Reforms set out in 2023 by then-
Chancellor Jeremy Hunt aimed to boost outcomes for
savers by applying additional requirements to DC pension
providers to support further consolidation and an industry led
“Compact” committing many of the UK’s largest DC schemes
to the objective of allocating at least 10% of their default funds
to private markets by 2030. The May 2025 Accord allocates
half of that to the UK economy. The government’s aim is
to improve outcomes for savers whilst increasing funding
availability for high-growth UK companies.
With these figures, the Mansion House Accord will unlock
up to £50bn, with £25bn of that destined to also boost UK
growth. During his 2023 speech at the Lord Mayor’s residence,
Hunt mentioned that UK institutional investors are not
investing as much in the UK as their international counterparts.
12
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LOOKING OUTWARDS
A British Venture Capital Association (BVCA) report from
August 2024 found that only 3% of pension fund investment in
British private capital is from UK pension funds.
This report also found that international investment in these
UK projects makes up a significantly larger proportion of
the deal value, saying that ‘in 2023 87% of £20m-50m deals
and almost 95% of deal value over £50m included foreign
investors.’ As an example, the largest shareholder of Thames
Water (32%) as of July 2023 is the Canadian pension fund
Ontario Municipal Employees Retirement System (OMERS).
Considering the capacity of the Canadian system, the UK is
looking to regimes in both Canada and Australia to unlock
these private pools of funds at a scale sufficient to invest in
larger and growth-oriented deals.
The Australian government’s intention
with the development of its consolidated
superannuation schemes has been to provide
Australians with a world class standard of
living while protecting the future generations
of Australian taxpayers from the burden of
supporting the pensioner generation.
The Australian pensions system has been built up decade by
decade since the 1980s, forming a policy of progressively
encouraging greater self-provision of retirement
income through private, long-term saving in the form of
superannuation.
The UK government hopes to mimic this success by pooling
DC pension schemes and consolidating LGPS to increase the
investing power of UK saver’s assets. Mike Ambery, Retirement
Savings Director at Standard Life, says that “major consolidation
for LGPS would effectively overhaul the way in which LGPS
funds invest, enabling large pools of capital to be invested
to internationally recognised best standards.” Ambery adds
that this should not deflect from LGPS opportunity for local
investment, member outcomes, and delivering taxpayer value.
He points out that major consolidation for DC schemes
would see the circa 950 single occupational trusts move to
large arrangements, with providers of insufficient scale also
needing to consolidate. “Providers need to have sufficient
scale in respect of assets under management, an example
being £25bn+ AUM by 2030. Where this isn’t achievable then
an underlying power may force consolidation, all with the
underpin to deliver better outcomes and value for savers
considering scale and investment returns as critical factors
[to achieve these aims].
There is also consideration of whether different DC vehicles
such as Master Trust or contract-based solutions should also
be consolidated to enable greater scale and potentially the
utility of one rather than a number of default solutions.”
Pension schemes have been broadly supportive of the
proposed reforms, as evidenced by a Pensions and Lifetime
Savings Association (PLSA) joint letter to the Chancellor in
November 2024. The letter signed by the schemes, collectively
manage over £400bn in assets, shows the sector’s readiness
to collaborate with government and offer practitioner insights
into how some of these private investments may be structured
or benefit from government co-investment.
Though the letter calls attention to the opportunity the
reforms present, it echoes that consolidation must prioritise
members’ interests, achieving value for money through
economies of scale and enhanced negotiating power - a strong
reminder that the proposed reforms must consider pension
trustee’s fiduciary duty to members. Craig Campbell, UK Head
of Responsible Investment at Aon echoes this: “Consolidation
is likely to happen naturally over time if there is a genuine
emphasis on providing value to members; it will force only the
strongest providers to remain in the market. This will be in
members’ best interests, and in addition, the best providers
are likely to actively seek opportunities to improve outcomes
for the members by investing in unlisted assets including UK
productive finance.”
While this support is encouraging, the runway required to
deliver the reforms is substantial. Ambery rightly points out
the time and cost required to consolidate arrangements. “Any
consolidation of providers would have transition timing, cost
and operational implications. There would also be a need
to communicate to all stakeholders, [including] employers,
trustees and members; this may require detailed education as
well as adapting to different stakeholder needs.” This begs the
question: on whom does this responsibility for education fall,
and how will the industry deliver at volume and pace?
What about the risk arising from consolidating
the regimes to create economies of scale? Are
we potentially exposing savers
to undue concentration risk?
In speaking with Campbell, he suggests proceeding with
caution: ‘Scaling does not in itself guarantee the best outcome
for members. There is a risk that consolidation could cause
providers to focus on accumulating assets (rather than
delivering value to members), reduce competition, raise
barriers to entry and limit innovation.
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LOOKING OUTWARDS
There is a risk that true choice for sponsoring
employers is reduced or removed. Careful
consideration is therefore required to ensure
that consolidation is achieved in line with
achieving best outcomes for members.”
On hearing the Pensions Minister, Torsten Bell, at an LCP
DC investment conference late April, concentration risk is
being duly considered as the regime is discussed. During an
equally entertaining and informative pensions tête-à-tête with
former Pensions Minister Sir Steve Webb, we have also been
promised the latter half of the government’s pensions review
in short order.
such investment opportunities when compared to other
geographies and options [needs to remain front of mind].”
With the newly signed Mansion House Accord, investment
vehicles being regularly launched, and risks for the proposed
reforms being duly considered as the regime unfolds, we
seem to be headed in a promising direction. We mark the
two-year anniversary of the Compact this summer, eyes
keenly peeled for next steps. Though we may be a way off the
sector delivering investment at scale, we are well on our way
to seeing the UK join Commonwealth contemporaries as a
pensions superpower.
Madison Reamsbottom is Head of Governance and Strategy at UK
Sustainable Investment and Finance Association (UKSIF)
The products by which schemes can deploy capital are a
crucial part of the discussion. One of the key players in this
space, the Long-Term Asset Fund (LTAF), borrows from the
traditional open-ended fund structure to maintain a profile
which returns the calculated valuation of underlying assets
while recognising that long-term illiquid investment cannot be
subject to frequent redemption activity reflective of a closedend
structure.
Late April, a new LTAF delivery was announced by BNP
Paribas AM and Scottish Widows. The product aims to deliver
enhanced liquidity management, asset origination, and
relative value asset allocation. As an open ended LTAF, the
initial foray will see the fund structure a multi-currency, multi
asset portfolio encompassing corporate and infrastructure
debt, aiming to expand into additional segments as the
allocation grows.
The governance structure will leverage oversight from both
firms to ensure asset allocation remains suitable for members
and that opportunities are captured over time. On unlocking
investment, Ambery points out the potential and the need
to maintain focus on having every cog in the machine
functioning optimally: “[We need to be cognisant of] all parts
of the sum: consolidation to achieve scale in investments,
[plus] opportunity to utilise scaled investment in productive
assets which deliver improved investment performance and
economic growth, [equals] greater member outcomes.
The sum of the parts being greater than the individual
components.”
He adds that “there [needs] to be clear understanding of the
investment opportunities for investment at scale, with clarity
over anticipated and expected performance. Risk mitigation
associated with investment (e.g. construction projects
or Health and Safety risks being reduced) and the flow of
14
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
Strengthening UK growth
and pensions returns
HONORARY FREEMAN MICHAEL MAINELLI ON THE OPPORTUNITIES AND CHALLENGES
FACING THE UK PENSIONS INDUSTRY – AND THE COUNTRY’S ECONOMY
The Mansion House Accord marks a
significant, positive shift in the role
of the UK’s pensions. It is designed to
channel more long-term investment
into UK businesses, particularly those
with high growth potential, while
aiming to improve pension outcomes
and strengthen the UK’s financial
ecosystem. The Accord encourages
pension schemes to allocate 10%
of assets to private markets such as
unlisted asset classes like equities,
property, infrastructure, and debt/
credit, by 2030. Half of that 10%
should be allocated to UK-based
investments. Supporting the Accord,
the recently-announced Employer
Pension Pledge is a strong signal of
support from employers to prioritise
net returns, not just cost, when
selecting or reviewing a defined
contribution (DC) savings provider.
The Accord and Pledge complement
wider reforms in the government’s
proposed Pensions Schemes Bill -
such as scheme consolidation and
a transition from a cost-control to
a value-for-money framework – laid
before the House in June. There are
many good things in the Bill, but a
particularly controversial element is the
inclusion of a reserve power to impose
quantitative investment targets.
Long-established fiduciary duties,
based on common law and trust
laws, require trustees of occupational
pension schemes to act in beneficiaries’
best interests, with prudence, care
and skill, impartially between different
classes of members, and avoiding
conflicts of interest. The Accord
is an industry-led agreement with
better retirement outcomes as a key
objective. While the market notes the
reserve power of mandation under the
Bill, the hope and expectation is that it
remains exactly that. The expertise of
the sector will be critical in driving this
forward.
The Bill’s success depends heavily on
the availability of a steady pipeline
of high-quality UK investment
opportunities, and the Accord includes
a commitment from UK Government
to a pipeline of UK investment
opportunities to support its delivery.
As pensions expert Con Keating rightly
notes: “Without good UK investment
opportunities, mandation of UK
investment is likely to produce poorer
investment returns relative to the
opportunities elsewhere – which rather
defeats the purpose of privately funded
pensions, i.e. reducing dependence on
the state pension.”
Building an alliance between supporting
national growth and delivering optimal
outcomes for investors - sits at the
heart of the debate. Fiduciary duties,
intergenerational fairness, and the
differing levels of risk between public
and private sector schemes raise
important questions, but they are
there to be answered and we have the
experience, brainpower and clout to
do that.
UK GDP has grown just 3.4% since
2019, compared to 4.9% in the
Eurozone and over 12% in the US, yet
the UK’s asset management sector
remains a quiet success story. At the
time of Brexit in 2016, the City of
London managed 11% of global assets;
by the end of 2024, that figure had
risen to 13%, equating to a gain of two
percentage points of global market
share - a substantial increase. City
employment has grown from 525,000
to 678,000 over the same period,
driven by the performance of worldclass
fund managers.
The UK is highly rated
for asset management due
to its strong rule of law
and protection of property
rights. We can leverage that
background to ensure that
the Accord helps deliver,
and fund, real investment
opportunities, without the
risks of mandation.
Professor Michael Mainelli is Chairman of
Z/Yen Group Limited; President, London
Chamber of Commerce & Industry;
Alderman for Broad Street; and Lord Mayor
of London 2023-2024.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 15

LOOKING OUTWARDS
AI: balancing algorithms and ethics
ANEESA HUSSAIN, SENIOR COUNSEL AT CIBC CAPITAL MARKETS, ON AI IN FINANCE
Humankind is born amoral according
to Aristotle. We are corruptible but not
inherently and automatically corrupt.
Technology too is not necessarily
‘bad’ by default (although sometimes,
by design). 1 Artificial Intelligence is
sometimes (unfairly) viewed with
suspicion; by now we’ve all been told
hundreds of times that AI is going to
take our jobs. However, the potential
for economic growth across virtually
all sectors is boundless. This at a time
when the global economy is crying out
for that very thing.
The City has become an early adopter
of AI to maintain its edge as the
innovative global centre for finance and
commerce that it has maintained for
centuries. Just as it re-invented itself
during the industrial revolution and
with the launch of the assembly line,
AI too is the next chapter of the story.
The opportunities are tantalisingly
endless, from increasing efficiencies on
trading floors, to automating processes
and even contract negotiation.
Nonetheless, banking bosses are
faced with unprecedented questions
around ethics. How do we exploit AI
tools without exploiting our clients,
shareholders and employees?
WHAT’S ETHICS GOT TO DO
WITH IT, GOT TO DO WITH IT?
The key ethical issues are three-fold:
Bias is a well-established concern with
AI. AI’s maximum potential to be fair
and equitable for its users is only as
good as the quality and diversity of
data that it is built on. The risk is that AI
training data takes on all the prejudices
of its architects because if its creators
fail to predict unique, anomalous
scenarios (especially those unfamiliar
to their own lived experience) then
there is a real possibility that the end
user could be treated inequitably.
The consequences of getting this
wrong could be crippling. Apart from
th eharm to customers and clients,
just think of the potential damages in
litigation where clients are mistreated
due to AI tools.
Privacy and data protection is
another biggie. When our clients hand
over their data (personal, commercial
or otherwise), they rightly trust us to
protect it with maximum care. After
all, it is their asset. Financial services
have become adept at mitigating data
breaches whether from cyber-attacks
or poor security, however the mass
roll-out of AI tools will require greater
advancements in privacy security
to keep pace with bad actors and
opportunists who can manipulate
AI tools.
Finally, financial services firms have
a duty to be transparent about how
client data is used in AI tools, how
algorithms work and how AI tools
make decisions in respect of that data.
Clients and shareholders need to be
able to understand and challenge
the tools. A big push is required on
education.
IN UNKNOWN TERRITORY,
GOVERNANCE IS KING
In 2022 UNESCO published
Recommendations on the Ethics
of Artificial Intelligence (the
“Recommendations”), calling on
member states to implement policy
1
“Recommendations on the Ethics of Artificial Intelligence” by UNESCO, adopted on 23 November 2021.
16 THE INTERNATIONAL BANKER / JANUARY 2025

LOOKING OUTWARDS
frameworks and hold key stakeholders
accountable for compliance. The
Recommendations set cross-sector
standards on how to build ethics
into every stage of the AI lifecycle.
I have used the principles of the
Recommendations to extract seven
areas that financial services should
consider when deploying any AI tool.
1 Choosing the right tools
The marketplace for AI tools is bustling
and so significant diligence is required
to choose AI tools that are fit for your
purpose. Firms should conduct a full
contextual assessment. Do the tools
offer the best value for your clients
and shareholders? Are they tested and
proven in the market? Do they align to
your firm’s culture?
2 Stakeholder engagement
Any good meeting starts with
the right people in the room and
the AI deployment process is no
different. The humans tasked with
vetting AI tools, running them,
using them and even monitoring
them (when operational) should
include cross-functional specialists.
The Recommendations suggest
an Independent AI Ethics Officer
is responsible for overseeing any
ethical considerations such as those
mentioned in this article.
3 Algorithms and quality datasets
The quality of the dataset that the
tool was built on should be validated,
updated and monitored throughout
the AI lifespan to ensure it is basing its
decisions on the best spread of data.
Organisations should seek a diversity
of human stakeholders at each stage
to mitigate bias. Individuals selected
should represent a cross-section of the
wider society, coming from all genders,
ethnicities, ages, neurodiversity, ability,
socio-economic background and so on.
Ultimately the underlying data for any
AI tool must be as vast and varied as
imaginable.
4 Accountability
Board or authorised management
should approve any AI tools. AI should
remain a standing agenda item at Board
and management meetings. Boards
should consider delegating some of
their responsibilities to AI specialists
within a Board sub-committee.
Legal teams should consider
contractual relationships with AI
providers and whether the providers
can offer any guarantees or indemnities
for performance of key obligations
or special events of default. Equally,
the technology must be continually
monitored by humans to establish
whether performance is optimal and
what ongoing improvements can be
applied.
5 Communication
Clients and shareholders alike should
be made aware of the impact of new AI
tools – there should be open dialogue
around the implementation of AI
systems that use client data even if
they are back-office tools.
6 Policies, procedures and training
Legal and Compliance teams must be
agile in understanding the changing
regulatory landscape and working
with other teams to tailor AI tools to
ensure regulatory compliance. Internal
guidelines, policies and operational
procedures must be established (and
maintained) for the launch and then
deployment of AI tools, bespoke to
your organisation. Where appropriate,
governance committees should
be created to ensure all guidance
is effective. Notably, data policies
should be refreshed on a more
frequent rotation to adapt to changing
technologies. Any employee who uses
AI tools should have training in how to
maximise their usage of its features.
7 Integration with existing systems
Operational and cultural integration
of new technologies into the existing
infrastructure will require impact
assessments. Careful roll-out strategies
must be devised, and of course,
contingency planning.
A not so dystopian Brave New World
Governments and supranational
agencies must work urgently to devise
robust and adaptable regulation. The
architecture may not yet be in place,
but the financial services sector cannot
afford to delay; the time to adopt
AI is now. In the words of President
Vladimir Putin, “Whoever becomes
the leader in this sphere [of AI] will
become the ruler of the world.” Much
like Mr Putin himself, AI’s power cannot
go unchecked; instead it must be
harnessed safely and inclusively with
careful guard rails. Good governance is
central, and I would argue, the biggest
factor in successfully deploying any AI
tool in your organisations.
Aneesa Hussain
Other References
– https://unesdoc.unesco.org/in/documentViewer.xhtml?v=2.1.196&id=p::usmarcdef_0000381137&file=/
in/rest/annotationSVC/DownloadWatermarkedAttachment/attach_import_e86c4b5d-5af9-4e15-
be60-82f1a09956fd%3F_%3D381137eng.pdf&locale=en&multi=true&ark=/ark:/48223/pf0000381137/
PDF/381137eng.pdf#1517_21_EN_SHS_int.indd%3A.8910%3A2
– https://www.synechron.com/en-gb/insight/ai-and-responsible-banking-balancing-efficiencyethics#:~:text=Ethical%20considerations%3A%20the%20bedrock%20of%20trustworthy%20
AI&text=Bias%20and%20fairness%3AAI%20algorithms,throughout%20the%20AI%20development%20
lifecycle.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
17

LOOKING OUTWARDS
WCIB signs Armed Forces Covenant
AN IMPORTANT COMPANY EVENT ABOARD HMS BELFAST
We were delighted to join the growing number of Livery
Companies that are supporting the Armed Forces community
by signing the Armed Forces Covenant on 8 April 2025. The
venue chosen was the historic HMS Belfast which is home to
one of our affiliated cadet units – City of London Sea Cadets,
who helped us host the event.
Captain Paul Hill KVRM RD VR RN represented the Armed
Forces to co-sign with Master Nick Garnish in the Wardroom.
We were also joined by the Lady Mayoress Florence King who
serves as an Army Reservist and by Lord Mountevans, past
Lord Mayor and President of City of London Sea Cadets. Our
other affiliated military units (100 Yeomanry Regiment, 16F
Air Cadets and 306 Hospital Support Regiment) were also
present to witness the signing. This is a significant milestone
for our Company and demonstrates our commitment to the
Reserves and Cadet Forces who are well represented in the
financial services sector.This act underscores the ongoing
commitment of civic leaders in the City of London to the
Covenant, which is a pledge to ensure fair treatment for those
who serve or have served in the armed forces.
Our engagement means the Company is:
• Publicly committing to supporting armed forces personnel,
veterans, and their families.
• Becoming involved in promoting employment, education,
housing, and welfare initiatives for service members and
veterans within the Square Mile and potentially beyond.
Cdr James Nisbet VR RN is Chair of the WCIB Livery Committee
18 THE INTERNATIONAL BANKER / SUMMER 2025
© Photos by Sillett Photography

LOOKING OUTWARDS
Military winners
MAJOR ROZ MCMEEKING
Congratulations to Major Roz McMeeking from our military
affiliate 306 Hospital Support Regiment who was named one
of our two 2024 Soldiers of the Year. She was presented with
her certificate at our Mansion House banquet. Lt Col Kevin
Forbes from 306 HSR, her Commanding Officer, said:
“Major Rosalind McMeeking enlisted in the (then) Territorial
Army in 2005 following her regular service in the Queen
Alexandra’s Royal Army Nursing Corps. While the Queen
Alexandra’s Royal Army Nursing Corps formally retired in 2024
and was subsumed into the new Royal Army Medical Service
some officers will remain 'QA' to the core embodying the
spirit and ethos of that Corps.
Maj McMeeking is QA through and through. Her focus has
always been the delivery of safe and effective care. She always
plays for the team and can always be relied upon to support
and nurture those she works with. Within her civilian life she
is a midwife by background but now works within a hospice
setting, a large part of her role there involves the quality
assurance of the care delivered and her comprehensive
experience in this area is what has earned her the
Commanding Officers nomination for 'top soldier' this year.
As a specialist medical regiment, we must continually
demonstrate that we deliver safe and effective care and that
we do so to the highest possible standard. Maj McMeeking
has, this year, taken on the considerable task of leading the
quality assurance team within 306HSR. She has worked
tirelessly (and I mean this) to take the regiment to a place
where we can more effectively than EVER before demonstrate
that we stand ready to serve. Through this process she
has demonstrated significant leadership, developed a new
team and has begun to lay the
foundation of a health assurance
team that will lead the Regt into
the future. She is, simply, the most
excellent example of an Army
Nurse and I am proud to nominate
her as my soldier of the year."
CAPT BRYAN ELLIOTT
Congratulations to Capt Bryan Elliott from our
military affiliate 100 (Yeomanry) Regiment RA
who was named as our other 2024 Soldier of the
Year. He was presented with his certificate at our
Mansion House banquet last week.
Captain Elliott (pictured centre below) was
selected from a large and varied pool of nominees.
His work both within 100 (Yeomanry) Regiment
RA and charitable activities outside of the
Regiment is consistently exceptional.
It includes most recently having taken part in
‘Cycle4caroline’ - Blenheim Palace to Badminton
House, raising money for British Eventing Support
Trust and Spinal Research. With a further two
ultra marathons planned this year raising money
for Macmillan Cancer Research. Capt Elliott truly
embodies the drive and determination expected
of a Soldier in His Majesty’s Armed Forces.
The WCIB’s association with 100 (Yeomanry)
Regiment RA dates back to when Eddie George
was Master of the Company (2004/05). The
Regiment is based at Woolwich Barracks, which
boasts the second largest parade ground in
Europe, and the Georgian façade of the main
building is the longest in the UK.
100 (Yeomanry) Regiment RA is the youngest
unit in the Royal Artillery, having been formed
in 1967, and although it is based in Woolwich,
the unit recruits from all over the UK to provide
Army Reserve officers and soldiers in support of
operations and exercises.
The WCIB has been affiliated with
306 Hospital Support Regiment
since March 2012. 306 HSR is
part of 2 Medical Brigade, Royal
Army Medical Corps, a nationally
recruited reserve unit of the British
Army based Strensall, near York.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 19

LOOKING OUTWARDS
Jersey and Guernsey:
2,000 years of safe
harbour, and now
a trillion dollars
PAUL DARROCH GRODEN ON JERSEY’S TREASURES
DOWN THE AGES
Jersey concealed buried treasure,
or so they said. Local legends told of
mysterious and ancient coins, ploughed
up occasionally amid the potato
harvest. Then one day, in June 2012,
two metal detectorists in the Jersey
parish of Grouville made an astonishing
discovery. They had stumbled upon
the largest hoard of Iron Age gold and
silver coins, jewellery and ingots ever
found in Western Europe.
This trove had been buried in panic,
by fleeing Gallic tribes, at a moment
of peril. The invasion of Gaul by Julius
Caesar’s legions would, in current
parlance, be classed as a “volatile,
uncertain, complex and ambiguous”
event. The ancients who entrusted
69,347 precious coins to a tiny island
on the edge of a continent were
perhaps simply the forerunners of
today’s global investors. In 2025,
Jersey, and its sibling island of
Guernsey, administer, invest or hold
on deposit well over a trillion dollars of
global assets.
The Channel Islands remain a curious
historical anomaly, the last vestige of
the duchy of Normandy that Duke
William the Conqueror once ruled.
As personal bailiwicks of the Crown,
never absorbed into Westminster, their
unique constitutional status continues
to empower them to innovate rapidly.
With limited natural resources, and
poised on the frontier between
clashing kingdoms, the islands were
forced to become entrepreneurial and
adaptive.
Sixteenth-century Channel Islanders
ventured thousands of miles across the
ocean to plunder the Newfoundland
cod banks. Their wool trade also
flourished; before long, the 'jersey'
became a synonym for a 'jumper'.
The nineteenth century witnessed an
influx of imperial retirees, tempted
by an appealing meteorological and
fiscal climate. For when the Liberal
government in Westminster introduced
death duties in 1894, the islands never
felt obliged to follow suit.
The radical idea of an 'income tax' did
not catch on until the 1920s. It was
only in 1940, under the shadow of
the German Occupation, that Jersey
legislated to increase income tax to its
current standard rate of 20%.
As with Singapore, the postwar
finance industry did not simply
evolve organically but resulted from
specific government interventions.
Jersey’s finance industry was built
on the shoulders of two farsighted
policymakers: Cyril Le Marquand,
first elected as a Senator in 1957, and
the economist Colin Powell CBE. The
repeal of the Usury Act in 1961, which
had limited lending rates to 5% and
most deposit rates to 2.5% since time
immemorial, was a decisive initial step.
The implementation of Jersey’s Trust
Law in 1984 – arguably, the world’s
first purpose-designed modern trust
legislation – proved to be another
landmark.
The historic rivalry between the two
islands (they had even supported
opposite sides in the English Civil War)
spurred their growth in complementary
fields. Guernsey merchants had long
enjoyed Lloyd’s of London connections
in the insurance market, with the La
Fraternelle insurance company dating
back to 1822. The island used this
historic depth of expertise to carve out
a commanding position in the captive
insurance industry from the 1970s.
In 2025, the Channel Islands retain an
important role in the global financial
system. The 37th Global Financial
Centres Index, produced by Z/Yen
Group, ranks Jersey as the ninth most
important financial centre in Western
Europe (and 25th globally), with
Guernsey in fourteenth place and
41st globally. Today, the islands are
actively seeking to secure a lead role in
20
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
sustainable finance and nurture their
fintech sectors.
Both islands demonstrate the promise
and peril of an economic monoculture
– achieving an enviable GDP per
capita alongside a potential crowding
out of alternative economic activity
and elevated asset price inflation.
Jersey traditionally has run a larger
deposit banking book than its sibling,
linking its fortunes to the vagaries of
net interest income. In recent years,
the funds sector has also witnessed
strong growth in both jurisdictions,
with £290.1 billion held in Guernsey
funds and £457 billion in Jersey
funds according to the regulators.
The International Stock Exchange,
headquartered in the tranquil harbour
town of St Peter Port, remains a
popular venue for listings.
The relationship between the City
of London and the Channel Islands
remains symbiotic, with Jersey in
particular acting as a major capital
allocator. Jersey and London often
form different links in the same chain
in complex international finance
transactions. The long-term rise
of Africa, buoyed by its booming
demography, is firmly established as
a contemporary trend. The Channel
Islands, which host branches of many
South African banks, are playing an
outsize role in supporting African
economic growth. Jersey accounts for
£15.5 billion in deployed assets across
Kenya, Uganda, South Africa and Egypt.
The media stereotype
of the Channel Islands
as “tax havens” lags
reality by several decades.
Jersey received a glowing
MONEYVAL evaluation in
the autumn of 2024, with
Guernsey following suit in
early 2025.
Information on non-residents holding
accounts is regularly exchanged via
arrangements such as the Common
Reporting Standard (CRS) and US
FATCA. Both Islands have positioned
themselves as model offshore
jurisdictions, although that somewhat
freighted term has now been replaced
by ‘international finance centres’ in
official communications.
The ability to offer tax neutrality
in corporate and fund structures
remains a core competitive advantage.
The absence of capital gains tax and
inheritance tax also appeals to highnet-worth
incomers, whose numbers
are strictly controlled. For most finance
workers, the combination of average
earnings, income tax rates, and the
elevated cost of living create an overall
outcome not dissimilar to life in South-
East England. The ability to leave the
office and go sea-swimming or surfing
within twenty minutes, however, offers
a distinct lifestyle benefit.
What does the future hold? Today, the
islands are at an inflection point. The
days of easy regulatory arbitrage and
ever-expanding globalisation are gone.
The islands must compete nimbly in a
world of tax transparency, powerfully
resourced global competitors, and
rising tariff barriers. While local
managers may fret over the impact of
artificial intelligence and the potential
elimination of administrative roles,
they face the daily reality of skills
shortages in two dauntingly expensive
jurisdictions.
Eight thousand years ago the waters
finally swept over the land bridge
that linked Jersey and the continent.
Periodically, the proposal to connect
both islands with a bridge, sweeping on
to Normandy, resurfaces. It is certainly
technically feasible, but would it be
either affordable or desirable? Whether
the proposal succeeds or not, Jersey
and Guernsey have long acted as
bridges for aggregating and allocating
capital across continents.
In an age of economic nationalism,
populism and tariffs, a more ancient
role may once again prove paramount.
The impregnable Channel Islands
fortresses of Mont Orgueil and Castle
Cornet have traditionally acted as a
handy marketing shorthand for the
political and economic stability that
the islands offer. In the world to come,
their ancient function as financial
strongholds will surely reassert itself.
Le Câtillon II – Jersey’s Iron Age hoard
of coins - is now on public display in La
Hougue Bie Museum (above).
Buried for over two thousand years,
the silver coins are now exposed to
the light of an utterly different world.
Most of them bear the eerie heads
of the ancient Coriosolite people of
Gaul, staring back at us. These faces
have witnessed over two thousand
years of upheaval, war and revolution.
Whatever trials lie ahead in our present
age, the Channel Islands should
continue to offer safe harbour.
Paul Darroch Groden is a Freeman of the
WCIB, and past president of the Chartered
Institute for Securities & Investment in Jersey
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 21

LOOKING OUTWARDS
The role of the City’s
Chief Commoner
HENRY POLLARD GAVE A FASCINATING TALK AT THE WALBROOK CLUB IN JUNE
I had the honour of taking up the role
of Chief Commoner in April, following
an election last year. The Chief
Commoner is the first representative
of the 100 Common Councillors,
especially in protecting their rights,
requirements and privileges in the
City of London Corporation. In
other words, it is the job of the Chief
Commoner to make sure all Common
Councillors are able to fulfil their roles
as elected representatives, and are
always protected and supported.
The role dates back to 1444, and is
unique in being the only role elected by
the whole Court of Common Council.
Today, the role includes:
• Advocacy - Representing the
interests of the Common Councillors;
advising on the hospitality,
facilities, training and development
opportunities provided to Common
Councillors.
• Guidance - Giving advice to Common
Councillors, being someone any
Common Councillor can go to;
helping to settle disputes, uphold
standards and promote the City
Corporation’s values and rules.
• Representation - Representing
the City Corporation at internal
and external events; overseeing
hospitality and events held at
Guildhall, including hosting many City
Corporation events.
To compare it to the House of
Commons, it is somewhere between
being a Speaker and being the Father
or Mother of the House. Alongside the
Lord Mayor, the Sheriffs, the Policy
Chairman and other elected Members,
I also promote and support the City
of London as a global financial and
business centre.
The particular themes which I want to
focus on over my year in office are:
• Investment management, the
industry which brought me into the
City, building on the City’s Global
Investment Futures - promoting the
UK as a leading destination for asset
management and reconsidering our
attitude to risk – which I will come
back to shortly.
• Support for the Armed Forces,
where the City Corporation has a
special relationship and where our
Livery companies give extraordinary
support to many military units.
• And – crucially - engagement with our
Livery companies, which make such
a huge contribution to the City of
London.
CONTRIBUTION TO LONDON
Like the Corporation, the Livery
movement supports all aspects of City
life – the civic, the financial and the
societal.
The most recent pan-livery giving
report showed that last year, livery
companies gave more than £80million
and did more than 76,000 hours of
voluntary work.
Your support helps and complements
the City Corporation’s own
contributions to society across London
and beyond – not only through our
schools, housing estates and other
services which we run, but also through
the City Bridge Foundation, London's
largest charitable funder, which awards
over £30million to charities across
the capital, with projects in every
London borough. At the same time,
you strengthen the financial City - the
Financial Services Group of Liveries,
of which the International Bankers are
a leading member, is a tremendous
source of advice, expertise and
industry insight.
LONDON’S STRENGTHS
IN BANKING
Banking and capital markets are the
cornerstone of the UK’s thriving
financial services industry and the City
of London's position as a leading global
centre. Our banks here facilitate global
flows of capital and risk management.
UK banking and capital markets benefit
from the cluster effect here in the
Square Mile and in Canary Wharf, and
draw on world-class expertise and high
regulatory standards. This Company
stands in support of a talent pool of
371,000 professionals works in banks
across the UK.
The UK remains the world’s largest
centre for cross-border banking,
representing a 15% share of
international bank lending. With around
170 foreign banks active in London, we
are one of the most globally connected
banking hubs. The UK accounts
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LOOKING OUTWARDS
for over one third of global foreign
exchange trading, more than the next
three largest centres (US, Singapore,
and Hong Kong) combined. Twice as
many US dollars are traded here than in
the US, and four times as many euros
are traded here than in the Eurozone.
We are also at the forefront of banking
innovations in fintech, automation,
blockchain and AI. A research report
released by the City of London
Corporation last month showed that
the UK remained the top destination
for foreign direct investment in
financial and professional services in
Europe - and third in the world. £1.6
billion of capital was invested in FPS
projects in 2024, and tech investment is
now the largest component of that FDI.
CITY OF LONDON
CORPORATION ASKS
We in the City Corporation are doing all
we can to promote this investment. As
announced by the Treasury in March,
we are working with the regulators and
the Office for Investment to establish
a concierge service for international
investors - something we called for
in our Vision for Economic Growth.
The idea is help firms to navigate
regulation and overcome barriers
to entry, encouraging even more of
that FDI to flow in. At the same time,
we have been urging regulators and
businesses to be willing to embrace the
risk-taking necessary for success. We
are encouraged that the Government
recognises the excessive risk aversion
and is pushing for a greater emphasis
on competitiveness. We welcome the
FCA's efforts to provide more support
for high-growth firms and reduce
regulatory reporting.
Regtech will have a crucial role here
in reducing compliance costs, further
aiding these firms. The Lord Mayor
and the Policy Chairman are working
with senior practitioners to develop
ideas aimed at improving risk culture
and regulation – including holding a
Chief Risk Officers summit at Guildhall
a few weeks ago. There will be more
proposals to come. By regulating for
growth, not just risk, we can unlock
our potential and drive substantial
investment. Last month, we secured
a commitment for greater investment
in the UK from leading pension funds
through the Mansion House Accord,
building on the Mansion House
Compact agreed two years ago.
Signatories including Aegon, Aon,
Aviva, Legal & General, M&G, NatWest,
Phoenix and Royal London have
committed to invest at least 10% of
their defined contribution default funds
in private markets by 2030, with at least
5% of the total allocated to the UK.
This is not only about better pension
outcomes: it is about building a more
dynamic, competitive investment
ecosystem to unleash growth across
the UK. And with all that is going across
the Atlantic at the moment, we have
an opportunity to promote the UK as
a safe, reliable and rewarding place for
the world to put its money!
SUPPORT FOR FINANCIAL
SERVICES ACROSS THE UK
We have a duty to promote the whole
UK, not just London. Over the last
decade, the City Corporation has had
a partnership strategy to work with
other financial centres across England,
Scotland, Wales and Northern Ireland
– promoting investment in those
cities, hosting events for them here
in London, and including firms from
those cities in business delegations on
the Lord Mayor’s and Policy Chairman’s
international visits. Indeed, the Lord
Mayor enthusiastically took part in this
year’s Tartan Day parade in New York,
and this autumn we are partnering
with Scottish Financial Enterprise to
hold a Scottish Investment Summit in
Edinburgh.
At a local level, we continue to
promote the Square Mile as a place to
live, work and visit through ‘Destination
City’ – including the reopening of the
improved Finsbury Circus Gardens
this week, and a huge programme
of renovation works at the Barbican
Centre.
So we are working to improve the
regulatory environment, to facilitate
greater investment, and to make
the City of London as attractive a
destination as possible - in every
sense. We know we are able to achieve
much more than we otherwise would,
thanks to the support of the Livery
movement. This Company and the
Financial Services Group form a great
bedrock and network for the sector
which keeps our City thriving.
My thanks to the Worshipful Company
of International Bankers for all you do
to support the City of London. We
will continue to work with you in the
months and years to come.
Henry is a Liveryman of the Skinners’
Company and a Founding Member and Past
Master of the Guild of Investment Managers.
A MAN FOR ALL SEASONS
Henry Pollard has spent over
35 years working in the City
for a range of financial services
companies. He has worked
in Europe and Mexico as well
as London in the commodity,
derivatives, capital raising and
fund management industries and
was a founding member of EMFA
(the alternative investments fund
association now known as AIMA).
He is currently Managing Director
at C&E Capital Consulting asset
raising and representing funds
and companies. He has previously
held senior positions at other UK
and US asset management firms.
Henry is an elected Member of
the City of London Corporation,
first elected for the Ward of
Dowgate in 2002 of which he
is the Deputy. He is Chairman
of the Markets Board (with
oversight of the three
London wholesale markets:
Smithfield, Billingsgate and
New Spitalfields) and currently
sits on the Investments Board,
Pensions Committee, Planning
& Transportation Committee,
Port Health & Environmental
Services Committee and Gresham
Committee.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS
23

LOOKING OUTWARDS
Crisis? Which crisis?
SIR DAVID OMAND GCB ON SURVIVING
EMERGENCIES, CRISES, AND DISASTERS
In How to Survive a Crisis, Professor Sir David Omand draws on
his experience in defence, security and intelligence, including as
Director of GCHQ and UK Security and Intelligence Coordinator,
to show how you can detect a looming crisis and extinguish it (or
at least survive it with minimum loss). War, terrorism, cyberattack,
climate change, the threat of AI: it has never been more important
to be prepared for the crises that await us. We caught up with him
at the Hay Festival (in late May, before the Iran-Israel war.).
“In my latest book How to Survive a Crisis I forecast that
we should prepare ourselves for more, and deeper, crises
– events to which we will be increasingly vulnerable. Sadly,
my forecast is being borne out by events, and not just over
extreme weather and natural disasters of every kind. The war
in Ukraine continues, the Middle East, the Sahel and Central
and East Africa experience horrific violence, elsewhere there
are internal conflicts and strife. All the familiar terrorist
threats continue, plus a few new ones. Serious cyberattacks
compromise our information space and lock up vital data
for ransom. And hovering over it all are US/China tensions,
especially over China’s military assertiveness, with the risk of
fatal confrontations in the air or at sea.
It is of course true that our civilisation has been ravaged
by crises in centuries past yet somehow survived. But what
makes a difference today is that our lives now depend upon
so many interconnected and complex digital systems. So,
we face both new vectors of threat and more systematic
vulnerability to them. Understanding the nature of crisis, and
understanding the discipline needed for decision making to
survive a crisis – the fundamental aim of my book – is more
important than ever.
I make a rough distinction between emergencies, crises and
disasters. Even in the best regulated nations emergencies
arise, affecting governments, armed forces, communities,
businesses and families. We can, however, identify the most
likely types of emergency, anticipate and prepare accordingly.
We rely on well-trained emergency services being on hand.
Wise organisations have rehearsed plans for business
continuity, including in response to cyberattack. The really
important thing is to anticipate the kind of emergency that
may arise and to think through what you might have to do
if it were to happen, and make plans that you hope can be
adapted in the light of actual circumstances.
As the first UK Security and Intelligence Coordinator in the
Cabinet Office I built up the role of Cabinet Office Briefing
Rooms (COBR) to provide strategic direction in a national
level emergency, in terms of nine risk themes: terrorism;
cyber; state threats; geographic and human, animal and plant
health; societal; and conflict and instability. We decided to
publish a national risk register, now available on the web.
Your organisation has I hope its own risk register, and will
have taken steps to mitigate major risks, and rehearsed
contingency plans for maintaining continuity of effort when
faced with different types of emergency.
So, I am confident you can manage
emergencies. But crises are of a different
nature. You do not manage crises; they
manage you.
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LOOKING OUTWARDS
A CRISIS IS DIFFERENT
In crisis, events hit us with an intensity and frequency to
which normal emergency responses cannot adjust. Genuine
crises turn our world upside down. I write in my book of the
rubber levers test. The emergency levers that are pulled do
not seem to be connected to desired results on the ground.
Problems multiply, threatening disaster.
At least for a while, events seem out of our control. And a
situation spiralling out of control is a definition of a crisis.
That's what led me to think about a crisis being poised
between an emergency on the one hand and a slide into
disaster on the other if some way cannot be found to take
control of a worsening situation.
It is characteristic of a crisis is that the person in charge
doesn't immediately know what they should do. Or, inside
government, they may not have even realised they are the
ones who have to step up and take charge. If they did know
what to do, of course, contingency plans would be activated,
the emergency services if necessary would turn up at the
front gate, and the situation would be dealt with, painful
though it might be.
I do not minimise emergencies: Some are distressingly painful,
lives are lost, and property destroyed. But in crisis, serious
problems multiply, threatening a slide into disaster. Some
of the steps we feel compelled to take to try to control the
situation may even seem to make matters worse. Choices
have to be made between alternative goals, in conditions of
complex uncertainty.
Being in crisis can be deeply scary, especially
perhaps for those used to being in power, used
to knowing what to do, and used to being able
to dictate their priorities and how they spend
their day. How well those who are in charge
respond to the uncertainty inherent in crisis
matters enormously to how things turn out.
• states of denial – the powerful feeling that this can’t really
be happening to us – with too often a refusal to accept bad
news (and to denigrate the bringer of it),
• behaviours such as delaying decisions, because of an
unspoken fear of getting it wrong, usually with the excuse
of waiting to get more clarity about the situation. When
researching my book a common response on the part of
leaders of all kinds who had been through a crisis was to
wish that they had acted earlier to mobilise to put their
organisation on a 'war footing'.
• together with seeking comfort in displacement
activity getting everyone to work on everything but
the real underlying problem, the proverbial 'fiddling
while Rome burns'.
Good crisis leaders quickly focus ruthlessly, mobilise the best
talent – including from outside the organisation - and bring
extra resource to bear to discover innovative ways through
the situation.
Of course, mobilisation means disrupting other important
work. Only the boss can set that crisis priority. The absence
of Prime Minister Boris Johnson from the first five COBR
meetings in the build-up to the COVID-19 crisis did I believe
matter.
One way of characterising a major disruption is in terms
of the intensity of the initial impact of the problem, the
extent to which the effects spread across national life and
finally the likely duration of the problem before normal life
can resume. These are not independent dimensions, clearly,
but you can think of some crises that are mostly about
withstanding a huge initial impact, some that quickly create
In the uncertainty of the early days of a major crisis, for
example, it may well not be clear what the priorities should
be – and who will end up paying. Tensions between teams
can be exacerbated and tempers fray, amply demonstrated
in evidence to the Covid-19 Inquiry, for example the coarse
WhatsApp messaging between Ministers and advisers. Under
the stress of crisis, well-documented behaviours often show
themselves.
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LOOKING OUTWARDS
widespread effects globally and some that will have very
long-lasting effects. When you have all three, as we had with
Covid-19, you have a major crisis to survive.
The Covid-19 experience also demonstrates why it is so
important to stick to an understood, well-staffed analytic
process for weighing up major crisis decisions, and their
possible direct and indirect consequences, measured against
strategic goals and adjusting course accordingly. 'Process'
can get a bad name, but it helps to create a "containing
environment" for the heightened emotions that stress
will always bring. It also minimises the risk of impetuous
judgements driven by personality clashes or personal
ambitions. Surviving crises is a team sport.
In my book I forecast that we should expect
more and deeper crises. But what makes
a difference today is that we are more
vulnerable to disruption than ever before,
because of the way that our lives now depend
upon so many interconnected and complex
digital systems.
So, we have to master two risk management logics:
understanding new vectors of threat and understanding
how our complex systems are inherently more vulnerable to
disruption, and recognising that our adversaries know that.
And remembering that complex systems tend to be nonlinear.
Small changes can lead to big effects.
Often the hardest situations to confront are those that have
been allowed to smoulder away, getting steadily worse and
liable eventually to burst into flames when the wind strength
gets up. During my career in public service, I have several
times seen in close-up British governments swept from office
by inability to gain control of a crisis.
I was in the defence private office in 1973 working for Lord
Carrington when the Heath government imposed the threeday
week, with rising inflation, petrol rationing and energy
blackouts. In the Main Building, we anxiously scanned by
candlelight the civil contingencies bulletins circulated to
the Cabinet, with a chart showing the dwindling coal stocks
remaining at the power stations. I still remember the feeling
of doom when a bulletin reported that on-site inspections
had revealed that some of the coal stocks at the power
stations were waterlogged and could not be burned. The
Heath government had literally, as well as figuratively, run out
of energy.
I was back in the Private Office in 1979 when the Callaghan
government experienced the 'winter of discontent' with
double digit inflation, rubbish piling up in the streets, and
the dead unburied with the gravediggers on strike. Against
the advice of the No. 10 press office, Prime Minister Jim
Callaghan met journalists at the airport when he flew back
from a summit in Guadaloupe. The Sun newspaper headline
over Callaghan’s photograph the next day was "Crisis? What
crisis?". He never recovered, and Margaret Thatcher swept
the polls later that year. Managing your public reputation is an
important part of surviving a crisis.
I saw for myself in 1973 and 1979 how public and market
perceptions of the ability to lead in crisis are crucial to
survival. When serious trouble arrives leaders must show they
have recognised the danger and have ruthlessly mobilised to
deal with it.
When the windows have been blown in by an explosion
outside or a flood has taken out the IT in the basement,
it's pretty apparent that something needs to be done. But
very often it's not like that. The crisis point has been slowly
creeping closer. That's what I call a slowly burning crisis and
it takes a great act of will, and indeed moral courage to say:
"stop, this is getting worse and it could get very much worse,
so now is the time to intervene".
Risks build up when strategic decisions are
not taken, when they should have been.
Today there are many slow burn crises in the making. Let
me take the re-emergence of State threats. Some years ago,
I coined the acronym CESSPIT: crime, espionage, sabotage
and subversion, perverting internet technology. Today, with
geopolitical tensions rising the CESSPIT has become ever
more concerning. Not only are we increasingly targeted, but
we will need to survive in an international environment where
previously accepted norms of behaviour, far from being
universally followed, decline even further.
Take Chinese cyber espionage. The latest exposure of their
skill is the so-called Salt Typhoon attack: the worst telecom
hack in U.S. history. The intrusions exposed call logs and
conversations, including between prominent U.S. politicians
and government officials. The FBI has even reversed its
previous dislike for end-to-end encrypted platforms and now
encourage their use.
But what has got less publicity is the much more disturbing
Chinese attack by the Volt Typhoon group, as Microsoft
has named them. The 'Volt Typhoon' campaign enabled
the attackers to establish persistent presence in US critical
infrastructure, using tradecraft, known as 'living off the land',
that exploited legitimate software on the system making the
attacks hard to detect. The campaign was designed to be
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LOOKING OUTWARDS
able, in a crisis, to allow the Chinese to disrupt the US’s most
sensitive critical infrastructure.
Just when the US – and you - would need to be focussed
in an international crisis we would be liable to find finance,
telecoms, energy, water and other critical infrastructure
suffering disruption.
We should ask ourselves at this point why warnings of slow
burn crises are too often muted. Tackling the problem may
not fit the prevailing political narrative. Leaders may not want
to admit to the seriousness of the problem that has been
allowed to develop on their watch. It may look as if it would
be too expensive to tackle, or there may be thought to be
political advantage in delaying difficult decisions when the
case for action is not ready to be made publicly. After the
9/11 attacks, the Congressional Commission of inquiry
concluded that there is 'a paradox of warning'. Even when
you know that trouble is looming, the paradox is that you
can't get the political support to do what is necessary to deal
with it until the crisis has actually burst into the open and it is
too late to prevent.
Israel was plunged into crisis by the killings, atrocities and
hostage-taking committed by Hamas on 7 October 2023.
Leaks allege that the Hamas plan had been acquired by Israeli
intelligence and some of the extensive preparations detected,
yet not acted upon and no intelligence warning issued. Israeli
thinking seems to have been dominated by the assumption
that Hamas could not acquire the capability to attack Israel on
any significant scale, and therefore would not want to.
Israeli society had not been prepared for a crisis of the scale
of 7 October. Nor did it appear that the IDF had anticipated
the possibility of such an attack. They were thus unable to
respond quickly when that threat materialized. A 'reasonable
worst case' for the planners should have included a scenario
in which the Netanyahu policy of letting Hamas run Gaza
would fail. One lesson for all of us is that contingency
planners need to have the confidence to be contrarians, and
not be intimidated by politicians saying, it can’t happen.
There are many well-documented cognitive errors that can
cause the misreading of a developing situation. They include
optimism bias, perseverance, mirror imaging and transferred
judgement. And hubris has in the past played a part in
underestimating risk, as has over-reliance on technology
–¬ With the data we have today how could you be taken by
surprise? The answer is easily, and called human nature.
One answer I believe lies in the unconscious influence of a
settled conviction on the part of leaders, both in government
and the private sector, that current policy simply rules out
such a scenario. That leads in turn to business planning being
based on the assumption that it will not happen because
policy is designed to ensure that it cannot happen. So the
IDF had no plan for a rapid response to a large scale attack
from Gaza. We will have to wait for the verdict of an Israeli
Commission of Inquiry if one is eventually appointed to know.
But the lesson in disciplined crisis survival here is that we
should all insist on reasonable worst-case planning, based on
hard-headed analysis, not just on convenient policy optimism.
Let me conclude by returning to the concept of resilience. We
face the prospect of a messy, confusing and dangerous world
that is difficult to understand and navigate.
Resilience is a word I use a lot when giving talks: we need
more investment in resilience – especially digital resilience of
our infrastructure – to withstand adversity, to keep going and
eventually emerge stronger having learned from the painful
experience. We need to understand better how we would
mobilise our resources in a big crisis scenario, when the
adversary is disrupting civilian life and infrastructure on which
defence relies.
Sir David Omand GCB is author of How to survive a crisis: lessons in
resilience and avoiding disaster, published by Penguin.
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LOOKING OUTWARDS
Duncan Wood, Risk.net, with Anthony Scaramucci,
former communications director at the White House
Risk Live: Navigating the abundance
of risks in global banking
PAST MASTER ROBERT MERRETT CAPTURES THOUGHTS FROM THE EXPERTS
Risk management is an essential tool for all bankers. The Risk
Live Conference, held in London in June 2025, was a mustdo
event to catch up on hot topics and critical insights from
industry experts, regulators and banking peers.
Duncan Wood, editorial director at Risk.net, opened with a
question – what is an exceptional but plausible stress testing
scenario? Anthony Scaramucci, former communications
director at the White House, answered “an orange asteroid”
- or what we would call the geopolitical risk of Trump 2.0.
He noted that the new administration was working through
a playbook documented in Project 2025, a 900-page “wish
list” of policy proposals for the next four years. Anthony
commented that Trump’s own motivations came down to
two things – seeking attention and making money – and he
felt there were growing signs of lobbyist constraints on the
president. Hence, the risks can be identified and assessed,
despite the rapid policy shifts, regulatory upheaval, and a new
era of global uncertainty.
Burkhard Varnholt, former global CIO at UBS & Credit
Suisse, believes we are in a bull market that will continue to
rise in the 2020s due to a decade of underlying innovation.
The COVID pandemic has led to a labour market shortage,
hence companies need to increase productivity through
innovation, which will help to reduce inflation and interest
rates, and corporate earnings will rise leading to higher stock
prices. He also commented on the three underlying pillars
of security, energy and globalisation. Putin and Trump have
caused Europe and the rest of the world to rethink these. For
example, energy security is now seen as a must have, defence
spending is rising, and trade routes are being rewritten.
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LOOKING OUTWARDS
Hence, Burkhard sees opportunities in an unbalanced world
and concluded that investors should stay invested in the
markets.
THE ROLE OF AI IN TRANSFORMING
RISK MANAGEMENT
Stefano Biondi, CRO at Banca Mediolanum, explored how AI
is enhancing predictive accuracy, operational efficiency and
decision-making in risk functions. For example, AI can be used
to perform periodic monitoring of credit portfolios and to
report early warning signs. It can also be used for continuous
real time monitoring of transactions to identify potential
fraud or money laundering.
He also spoke about a recent Bank of Italy simulation to
study the behaviour of AI models. It was based on the Sam
Bankman-Fried case, where the CEO of FTX used clients’
deposits to cover debts incurred by the firm’s proprietary
trading division. In the central bank simulation, a fictitious
trading firm replicating FTX was assumed to have $150k
of debt and $300k of client’s deposits. An assembly of 12
independent generative AI models in the role of CEO must
decide quickly how to resolve the situation: either to use
clients’ deposits to repay the loan or to go into liquidation.
The simulation results indicated nine of the AIs sell all
clients’ deposits, two of the AIs sell a portion of clients’
deposits to cover the debt, and only one out of 12 AIs opts
for liquidation. The simulation outcomes arose because
generative AI models are trained to achieve an objective and
tend to prioritise reaching their target over respecting rules.
Hence the need for the European Union AI Act which sets out
guidelines for the responsible use of AI in the banking sector.
THE PSYCHOLOGY OF LLMs
Alexander Sokol, chairman and head of quant research at
CompatibL, gave a fascinating presentation. He commented
that humans and AI perform surprisingly similarly in classic
behavioural psychology experiments. Humans and AI make
decisions that are sometimes autonomous and sometimes
require thinking. Mistakes happen when asked to act
quickly. He demonstrated this by showing that mistakes
had happened when different LLMs were asked to work
at different speeds and with different levels of biases. The
reason is that AI shares many cognitive biases of humans and
is prone to human like errors of logical reasoning and recall.
In summary, cognitive bias risk is a new type of operational
risk for AI.
INNOVATION AND GROWTH: THE PRA’S
APPROACH TO COMPETITIVENESS
David Bailey, Executive Director for prudential policy, Bank
of England, outlined how the Prudential Regulation Authority
(PRA) supports financial innovation and sustainable growth
while ensuring resilience in the UK market. The starting
point is always safety and soundness. The PRA is also very
focused on how to safely reduce the regulatory burden to
allow space for innovation and to support economic growth.
Hence, they also seek to be proportionate and efficient. David
commented that innovation such as AI comes with significant
costs and risks but has the potential for big returns. The
PRA has therefore sought to be flexible on AI, engaging with
financial firms to understand and collaborate.
NON-EXECUTIVE DIRECTOR SESSION:
STRATEGIES FOR RESILIENCE IN THE NEXT ERA
OF FINANCIAL RISK
A selection of banking non-executive directors discussed
their independent role. The starting point was good executive
leadership and management skills when they were not
there. They also expected a good risk culture to be present
throughout their firms. A tabletop scenario or playbook
covering potential risk events should already be available for
the Board to use in a crisis. There should then be clarity on
what communication is expected between executives and
non-executives. Recommended reading on risk management
was the independent report by Paul, Weiss into the Credit
Suisse relationship with Archegos Capital Management
following losses to the bank of $5.5bn.
BOTTOM LINE: WHAT BANKERS CAN DO
I asked ChatGPT to summarise the conference based on the
public information about the speakers and the presentations.
Pillar
Credit and market risk
Liquidity risk
Operational risk
Strategic dialogue
Emerging tech and ESG
What to focus on
Latest stress-testing methods,
forward-funded portfolio
resilience
Thresholds, buffers, IFR
policies in a tightening
environment
Cyber, third-party, and AIrelated
governance
Regulator signals, risk culture,
cross-function integration
AI tools for risk detection and
ESG risk integration
Liveryman Robert Merrett is a Past Master of WCIB
29

LOOKING OUTWARDS
Moments in time:
a City turning point
PAUL DARROCH GRODEN ON THE EPOCH-DEFINING DEBUT OF THE EUROBOND IN 1963
In the rainy London summer of July
1963, the future was about to break in.
The first Beatles LP had exploded into
the charts just a few months before
and Britain was straining to escape
from its drab postwar era. Across
the pond, John F. Kennedy’s young,
energetic presidency was just starting
to hit its stride. As the Profumo scandal
rumbled on, it felt only like a matter
of time before Harold Wilson’s Labour
party would sweep to power, and the
old guard would change for good.
Hundreds of weary City bankers,
trudging through the drizzle on London
Bridge on 18th July, must have stopped
to pick up a copy of the Financial
Times. They would have been none the
wiser that they had just experienced
one of the most significant turning
points in the City’s history.
The headlines in the newspaper hardly
seemed dramatic. The FT Ordinary
Share Index had closed the day before
at 315.2, a new high for the year, even
as the Dow dipped a smidgeon below
700 points. “Expanding Future for
Cheddar?”, read one cautious headline
in the agricultural pages. Elsewhere,
there was a quiver of optimism about
a new infrastructure project that had
just commenced – the long-awaited
Victoria Line.
The real treasure was buried deep
in the small print on page 12 of
the Financial Times. “Dealings started
yesterday in Autostrade 5½ per cent
Guaranteed Bonds 1972-78. The
market opened on the basis of
$98¾ - $99¼ and was $98¼ - $98¾
at the close”.
This was the very first Eurobond, and
it would change the City’s fortunes
forever. The proof of concept was
evident – that a bond could be issued
in dollars, under English law, on a
European stock exchange. Although
listed in Luxembourg, London’s very
own SG Warburg and English law firms
had played a pivotal role in its creation.
The City of London would go on to
shape the entire Eurodollar market.
Pools of externalised dollars, deterred
from repatriation due to US tax rules,
represented a limitless opportunity. In
the years to come, London snapped
out of its postwar torpor and seized
the lion’s share of the Eurobond
market. Today the market stands at
over EUR 13.2 trillion in value, and the
City of London remains at its heart.
Was this success a matter of luck,
30 THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
a canny seizing of opportunity, or
textbook regulatory arbitrage? It
certainly combined pragmatism and
flair. These attributes were much
needed as the City of London skilfully
navigated the Barber boom, the
secondary banking crisis and the
stagflationary turmoil of the Seventies.
In contrast, the second crucial
turning point in the City’s postwar
history was advertised in a blaze of
Eighties publicity. Big Bang did not
occur organically, as the trigger was
regulatory pressure: the Office of Fair
Trading’s investigation into the system
of minimum fixed commissions for
stockbrokers. The late Sir Nicholas
Goodison, then chair of the London
Stock Exchange, responded by devising
a radical programme of reform. Big
Bang abolished the broker-jobber
divide, replaced open outcry with
electronic trading and swept away a
raft of outdated regulations: all on a
single fateful day, 27th October 1986.
Seen from the perspective of almost
four decades, Big Bang remains a
profound historical watershed. To
extend its galactic metaphor, this was
the day the City of London finally
crossed the Kármán line and powered
into orbit. Big Bang even found its way
into the musical zeitgeist, with the Pet
Shop Boys referencing it in their 1987
track “Shopping”, a withering critique
of Thatcherite deregulation.
The headline writers in the Financial
Times the morning after Big Bang
focused primarily on its embarrassing
initial failure to launch. For at 08:29am
on October 27th, almost an hour into
trading, the electronic SEAQ system
crashed. “We were hit by a tidal wave
of requests”, came the excuse at the
time. Yet the real tsunami was yet
to come, with the rapid sale, demise
or consolidation of many traditional
British brokers and asset managers
in the years that followed, and the
relentless rise of the American and
European investment banks.
The stage was set for the explosive
innovation and breakneck growth
of the decades to come– the age of
central bank independence, light-touch
regulation and the rise in securitised
debt markets and shadow banking that
culminated in the global financial crisis
of 2007-08. The shock of that crisis
was literally embedded in the genesis
block of Bitcoin, which included the
headline “The Times 03/Jan/2009
Chancellor on brink of second bail-out
for banks”. Few, of course, noticed
Satoshi Nakamoto’s obscure innovation
at the time.
We have gradually emerged from
the long tail of that post-crisis era.
Today, in the wake of Brexit and facing
the daunting gravitational pull of US
capital markets, there is a sense that
the City of London now needs to
find the next turning point, the next
decisive moment of opportunity. The
government and mayoralty are both
actively pursuing growth. Will the
Bank of England’s digital sandbox do
the trick? Perhaps real-world asset
tokenisation will grow boundlessly,
like the Eurobond market of old? Will
the Mansion House Accord, with its
commitment to invest in British assets,
be retrospectively perceived as another
turning point?
Meanwhile, a new wave of futurists has
arrived. Some define themselves online
by laser eyes (the Bitcoin maximalists)
and others by 1980s-style sunglasses
(artificial intelligence enthusiasts).
Are we at another inflection point?
Are the AI doomsters talking of ‘full
unemployment’ and the pending
abolition of all KVM, or ‘keyboard,
video and mouse’ jobs going to be
proved right? Will the generational
challenge of financing the green
transition be abandoned, reconfigured
or embraced anew? Will the City of
London finance an imminent longevity
revolution?
History shows that the City’s
historic re-inventions were
neither the product of market
forces nor government diktat
alone. Instead, they arose
from a powerful confluence
of private sector innovation,
regulatory foresight and
a certain nimbleness of
vision: the wit to seize, and
the imagination to develop,
fledgling markets.
It is likely that the greatest market
opportunities of the decades to come
are still largely unsung. They will most
likely be buried somewhere in a quirky
news article, an obscure research
report, or in the proprietary code of a
fintech or biotech start-up. The stories
of the future will tell themselves; the
key is to foster a supportive regulatory
environment where serendipity can
happen. The shape of the City of
London in mid-century is already visible
on the horizon and rising to meet us.
We can be sure it will surprise us once
again.
Paul Darroch Groden is an author, historian
and Freeman of the WCIB. He is a past
winner of the Shell Economist Writing Prize
for The World in 2050.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 31

LOOKING OUTWARDS
Strengthening digital resilience
MARK HENTHORNE ON DORA AS A “GAME-CHANGER” IN CYBER RISK
In an era where digital transformation
is reshaping the financial services
landscape, cyber threats have
emerged as a defining risk. Regulatory
frameworks are rapidly evolving to
ensure that institutions remain resilient
in the face of these challenges. One
of the most significant developments
in this space is the EU’s Digital
Operational Resilience Act (DORA) - a
game-changing regulation designed
to harmonise how financial entities
manage information security risks
across Europe.
At its core, DORA establishes a unified
approach to ensuring that financial
firms - from traditional banks to
insurance companies, fintechs, and
critical third-party service providers -
have robust risk management practices
in place for their digital operations.
It moves beyond the patchwork
of national-level regulations and
emphasises a proactive, end-to-end
model for operational resilience,
making information security risk
management as fundamental as credit
or liquidity risk.
DORA became fully applicable in
January 2025,and its ripple effects
are being felt, particularly in the cyber
insurance market.
Cyber insurance, once considered
a niche offering, is now an essential
component of corporate risk
management strategies. Policies
typically cover losses from data
breaches, ransomware attacks, and
business interruption. However,
the increasing frequency, scale,
and sophistication of cyberattacks
- coupled with rising regulatory
expectations - have forced both
insurers and policyholders to rethink
the structure and scope of cyber
coverage.
DORA’s introduction creates a powerful
feedback loop between regulatory
compliance and insurability. Insurers
are sharpening their underwriting
processes to account for DORA-aligned
operational resilience, rewarding
firms that demonstrate strong risk
management with more favourable
terms and premiums. Conversely,
companies that fall short of these new
regulatory expectations may struggle
not only to comply but also to secure
affordable cyber coverage.
One of the key advantages DORA offers
to the cyber insurance ecosystem is
greater transparency. Its emphasis
on incident reporting, information
security, third-party risk oversight, and
resilience testing provides insurers with
a clearer picture of an organisation’s
risk posture. This enhanced data flow
makes it easier for insurers to assess
risk accurately and price policies
sustainably in a market that has, in the
past, suffered from limited actuarial
data and significant uncertainty.
For financial institutions, cyber
insurance should not be viewed as a
substitute for compliance or resilience
- but as an essential complement. The
organisations best positioned to thrive
under DORA will treat cyber insurance
as part of a broader strategy that
weaves together risk assessment, thirdparty
governance, and crisis response
planning.
In the long run, DORA could very well
lead to a more mature and stable
cyber insurance market, as regulators,
insurers, and businesses align around
shared standards for digital operational
resilience.
The message is clear:
compliance is not optional,
and resilience is nonnegotiable.
Financial
firms that act now —
by tightening controls,
improving cyber hygiene,
and embedding insurance
within a comprehensive risk
framework — will not only
meet regulatory expectations
but emerge stronger, more
trusted, and better equipped
for the future of digital
finance.
Mark Henthorne is Chair of the WCIB
Communications Committee and a cyber
insurance specialist.
32
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING OUTWARDS
Planning your own replacement
SENIORS “GO ON MANOEUVRES” IN SUCCESSION PLANNING, SAYS SENIOR WARDEN TIM SKEET
It is human nature. That feeling of
infallibility and irreplaceability. The
further one rises, the firmer these
notions can take hold. Although UK
regulators now place a requirement on
banks to establish plans for succession,
the process is fraught. At the most
senior levels of the industry, leaders
resist the notion that they might timeexpire.
JPMorgan is a good case in point,
with endless speculation over who
might take over from 68- yearold
Jamie Dimon set against an
endlessly changing cast of potential
successors. Designating a potential
replacement can feel like consigning
oneself prematurely to the scrap
heap. Inevitably perhaps, nominating
a successor can fuel internal
machinations. In an industry full of
the headstrong, a succession plan can
serve as a general invitation to seniors
to “go on manoeuvres”.
In some financial institutions, it does
not take much to turn up the heat
and intensify the internal politics.
Plans, nevertheless, are vital as the
life and success of the boss becomes
increasingly perilous. Recent, sudden
defenestrations — such as NatWest’s
Alison Rose or Barclays’ Jes Staley
— point to the precarious nature of
leadership, particularly in financial
services.
Unpredictable social media acts today
as a megaphone for the slightest
indiscreet remark while long-forgotten
past actions may be excavated and
publicly scrutinised. With societal
values changing fast, yesterday’s
thoughts and actions viewed by
today’s standards can blow up the
best leadership plans. Furthermore,
company values and economic drivers
are today being shaken by populist
politics. Erstwhile accepted social,
economic or business norms are
suddenly being challenged. Established
ESG and diversity policies, once de
rigueur, are now decidedly passé in the
US and maybe beyond.
What is therefore required of leaders
at all levels is a wide range of abilities
combined with a set of effective
political and social antennas, a thick
Teflon coat and tungsten-reinforced
skin. These were perhaps always part
of the job requirement but surely
even more so today. Hopefully thus
equipped, these people can also run
a business. The question arises over
how well tomorrow’s leaders are being
prepared to navigate the future.
Across the industry, many candidates
have strong but narrow technical skills,
but are otherwise badly prepared to
take the next step. As we all know
in finance, high IQ often equates to
low emotional intelligence and poor
people skills. Being good at your job
does not necessarily mean you have
the strategic vision and interpersonal
competence to lead. There was once
a time when seniors would regularly
train up their juniors, equipping
them to be their replacements. This
used to work reasonably well. The
seniors would subsequently move
up to the next level. However over
the past decade, delayering and
“juniorisation” have undermined this
process and disincentivised more
experienced people from training up
their juniors as their successors. This is
understandable but a problem.
The availability of an evolving pool
of growing talent is vital for effective
planning. Modern succession planning
is not just for the top, most visible jobs.
It also applies to mid-level yet crucial
roles across an organisation. Losing a
key person without a relevant plan for
rapid replacement can be expensive
and highly disruptive, hence the need
for plans at all levels.
This starts with mapping critical
roles and evaluating the talent pool.
People risk is rightly identified as a
significant operational risk factor in
banking, where many technical roles
exist that require precise skills and
abilities. Maintaining a decent talent
pool for future development demands
proper training plans to provide the
required skills for the next career
stage. Muddling through and learning
it all on the job will not cut it. Though
training might be in place and talent
available, it does not always follow that
people want to step up. Indeed there
is a further potential challenge from
societal changes in attitude towards
work and the nature of leadership.
“Gen Z” for instance is widely reported
to have evolving views on career and
work, with a penchant for flexible
working arrangements and an aversion
to “boring” middle-management roles.
Society and business may re-evaluate
the nature of leadership and career
progression, but today it is still those
roles that can provide the right set of
skills to lead in future. In the meantime,
succession planning should be part of
every HR department’s priorities and
every leadership team’s responsibility.
Leaders increasingly sit
on live ejector seats, and
mission-critical technicians
and specialists can likewise
suddenly disappear.
Managing the politics of all
this is just part of the fun.
Who wants my job?
Tim Skeet is a career banker, currently
Senior Warden of WCIB.
This article was originally published in
The Banker. Republished by permission.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 33

CHARITY & EDUCATION
A first-class future for the many
OUTGOING CHARITY AND EDUCATION COMMITTEE CHAIRMAN PETER GREEN
ON THE COMPANY’S FOCUS ON SOCIAL MOBILITY AND FINANCIAL LITERACY
To paraphrase John Lennon, “Imagine there’s no need for
charities”. A world where everyone has the same chance of
success. Earlier this year, I undertook my favourite annual
activity, of mentoring a team of six students in the Sheriffs’
Challenge - a public speaking competition. The question for
2025 was “which 'doors' would you like the City of London
to help open to improve your educational and career
opportunities?”. Interestingly, the students argued that they
didn’t want doors opened – that speaks of unearned privilege.
Rather, they wanted “keys” to open doors through their own
efforts. The students clearly had the aspiration, and merely
wanted to compete fairly regardless of social background,
ethnicity or gender. An impressively mature argument given
their school is in the second most deprived borough in London.
The International Bankers Charitable Trust focuses on social
mobility, particularly for the younger generation, and financial
literacy. We have supported our primary relationship charity,
The Brokerage, for the past 22 years, helping to shape their
offering to young people, programmes related to getting
young people into banking-related careers. We have worked
together on several initiatives including the annual schools
essay competition and in 2025 we donated £50,000 towards
the Pathways to the City programme.
To be eligible participants in the programme must attend a
state school, need grade 4 or above in English and Maths,
plus one of the following:
• Be eligible for free school meals when at secondary school.
• Be the first generation in their family to attend university.
Though there are no entry requirements on gender or ethnic
grounds, the candidate pool is considerably diverse. 46% of
candidates are female, and 94% are from ethnic backgrounds
other than White British.
At our recent Charity & Education Showcase, we heard
from two Brokerage alumni. Harish spoke eloquently about
the challenges of being in financial services events where
“there aren’t many people who look like me, talk like me”
– unspoken barriers – and the fear of entering rooms not
knowing what to expect. Efe challenged us on the difficulties
of understanding potential career paths with no family role
model as a first-generation university student. Overcoming
these barriers requires effort – Harish told us about having
to attend thirteen Brokerage events just to be on par with
someone who grew up in a family whose parents are in
professional roles. Both are at the early stages of career paths
in financial services, Harish with a conditional offer at a top
university and Efe in full-time employment. Career paths that
would have been highly unlikely without the support of The
Brokerage. They had the aspiration – The Brokerage provided
the opportunity. Efe and Harish participated in the Pathway
to the City programme, which supported around 1,500 young
people per year. The Brokerage have determined that this
self-guided, high-volume model could not meet the deeper
needs of those facing the greatest barriers. Providing fewer
candidates with intensive, personalised support would lead to
greater and more sustainable outcomes.
The Next Gen Talent programme focuses on 600 candidates
annually, offering structured learning and one-to-one
coaching to create greater impact albeit with reduced
participant numbers. The programme aims to achieve the
following measurable outcomes – that participants are:
• Equipped with practical job search and employability skills
• Confident and assessed to meet employer expectations
• Secures a first paid role (internship, apprenticeship or entry
level job)
The C&E Committee recommendation to provide funding for
150 young people over a three-year period was unanimously
approved at the Court meeting in July 2025. In addition to
the financial support, we will be publicising opportunities for
members to engage with The Brokerage through mentoring
and careers advice.
A recording of our Charity & Education Showcase is available
for viewing via the link below – listen to the full testimonials
from Harish and Efe, and hear about the wider C&E activities.
We anticipate similar events highlighting our four other
relationships charities – keep a lookout on the Events
calendar.
A final note on our charitable distributions. Our guiding
principle is to distribute all IBCT income (members
donations, Gift Aid, BBA legacy, investment income and
event income). This year the agreed total is £205k, a modest
increase from the prior year budget, but wonderful to break
the £200k barrier. Member donations (including related gift
aid) are critical, representing 69% of the total amount raised.
Your donations allow us to support more young people like
Harish and Efe.
We’d love a world where there is no need for charities, but
in the interim, sincere thanks to those who do support our
philanthropic activities and to all others “I hope someday
you’ll join us, and the world will live as one”.
Charity & Education Showcase
https://shorturl.at/QZ0yP Passcode: g#Q16$zF
34
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING INWARDS
A glittering array of WCIB events
WCIB–UK FINANCE ASSOCIATE
MEMBERS EVENT
The Company and UK Finance cohosted
an engaging Associate Members
networking evening in the City. The
event opened with remarks from
Bob Wigley, UK Finance Chair (above),
who reflected on the rich traditions
of the livery companies and shared
personal insights from his journey
into international banking. His address
set a thoughtful and inspiring tone for
the evening.
WCIB Master Nick Garnish then
spoke about the Company’s growing
diversity - with members from more
than 55 nationalities - and highlighted
our commitment to charitable work,
particularly supporting high-impact UKbased
initiatives. Jago Toner followed
with personal reflections on the power
of mentorship, crediting Bob’s early
guidance in shaping his own career.
His remarks resonated with the many
interns and young professionals in the
audience, emphasising the value of
intergenerational learning.
The evening concluded with informal
networking, giving attendees a
chance to connect with peers, senior
professionals, and UK Finance staff -
and to explore WCIB’s evolving role in
the City’s financial ecosystem.
Rajith Kumar
CBDCS - A NEW COLD WAR?
We were joined by Professor Brunello
Rosa, CEO of Rosa Roubini Associates
(below right) to hear fascinating
insights from his book Smart Money:
How Digital Currencies Will Shape the
New World Order which has received
plaudits from a wide range of leading
names from Sir Vince Cable to the
former Lord Mayor Michael Mainelli.
Brunello Rosa is an Honorary Visiting
Professor in the School of Policy and
Global Affairs at City, University of
London.
In today's interconnected
world, the rise of digital
currencies represents a
transformative wave sweeping
across the financial sector.
Professor Rosa’s analysis shone a bright
light on the strategic implications of
these currencies, and the urgent need
for Western nations to accelerate their
adoption and integration strategies
to defend and, in turn, advance their
global financial standing.
Central Bank Digital Currencies
(CBDCs) are "a digital liability of the
central bank that is widely available
to the general public," and distinguish
themselves from conventional digital
currencies that are obligations of
commercial banks. This places CBDCs
at the centre of monetary policy
and creates significant implications
on a country’s standing on both the
domestic and international stage.
The microeconomic benefits
underpinning the adoption of CBDCs
range from increased efficiency in cash
management, as evidenced by projects
like the Sand Dollar, to enhanced crossborder
payment systems, thus lowering
transaction costs and increasing
the speed of international trade and
finance. Just as importantly, adoption
would help aid in the reduction of
informal economies and widen financial
inclusion by acting as a public safe asset
in digital wallets.
On the geopolitical front, CBDCs are
being championed as instruments for
strategic autonomy. Foremost, China
intends to harness its CBDC, the e-CNY,
not just for domestic governance
through tightened surveillance of
payment systems but also as a catalyst
for the internationalisation of the
Renminbi (RMB). This move feeds into
China's broader Belt and Road Initiative
(BRI), which spans 150 countries that
collectively constitute substantial
shares of the world's population
and GDP. Through BRI, China is
constructing critical physical and digital
infrastructure and leveraging these as
means of creating dependencies, often
secured via stringent covenants in
financing agreements, as seen in places
like Sri Lanka.
China's launch of the e-CNY has
also proven invaluable for Russia in
navigating financial sanctions imposed
amidst the conflict in Ukraine, with
Russia adopting alternative systems
such as China's Cross-Border Interbank
Payment System (CIPS). Contemplating
the future, the potential erosion of
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 35

LOOKING INWARDS
the US dollar's hegemony as the global
reserve currency becomes an issue
for consideration. As China advances
its digital currency strategy along
with technological innovations such
as CIPS, a movement towards digital
de-dollarisation could be realised.
This evolvement reflects broader
tensions underpinning the ongoing
Cold War Two rhetoric, which includes
trade wars, technological races, and
disruptions in global supply chains
— each of these elements being
battlefields where digital currency
would play a critical role.
The dichotomy between cryptos and
state-backed CBDCs also provides an
insight into global fiscal philosophies.
While market-driven cryptos, typified
by the United States, are associated
with high volatility and innovation
freedom, the state-overseen CBDCs,
as seen in the EU and China, promise
stability and control, reflecting
divergent approaches to monetary
sovereignty and risks. Additionally, the
rise of new stablecoins is predicted to
become prevalent within commercial
banking. Peering into the future, it’s
feasible that corporates, including
McDonald's, Amazon, Google, and
Starbucks may issue their own
currencies exhibiting reliability and
stability superior to those of weaker
sovereign nations. Brunello Rosa’s
presentation provided a clarion call
to Western nations: the urgency to
create digital currency strategies aimed
at establishing economic resilience is
paramount as they not only transform
transactional methodologies but also
convey considerable geopolitical
significance and safeguard economic
sovereignty in the face of rising global
competition.
Ultimately, the balance of financial
power in the future may well pivot
on the strategic deployment and
management of digital currencies,
reaffirming their undeniable role in
shaping a new era in global finance.
Aleem Wallani, WCIB Freeman, is a Policy
Advisor at HM Treasury
PERFECT SUMMER
PARTY SETTING
The WCIB hosted its Summer
Drinks Party at the DoubleTree by
Hilton Tower on 23 June, generously
sponsored by Northcross Capital – past
Master Jason Van Praagh (pictured
above). The event welcomed nearly
120 members - a delightful mix of
long-standing, new, and younger
attendees. Set against the stunning
backdrop of Tower Bridge, the rooftop
garden provided the perfect setting
for networking and conversation as
the sun set. Nick Garnish, the Master,
opened the evening by thanking the
many volunteers and highlighting
the livery’s remarkable growth - with
120 new members joining since
October, bringing total membership
to 750. He also spoke about the
organisation’s ongoing charitable
efforts to support the next generation
of financial professionals from diverse
backgrounds.
Sharmila Whelan
36
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING INWARDS
TAKING TO THE SEAS – WCIB
SAILORS GO FROM STRENGTH
TO STRENGTH
The WCIB Sailing Club was once again
in the water for the last weekend in
June. The weather was promising,
sunny and windy. The team met at 1pm
on Friday at Mercury Yacht Harbour
in Hamble and boarded Genevieve,
a Dufour 37 bareboat charter. Leigh
Gibson, skipper with crew Liz Thrussell,
Carl Dudley, Lizzie Monnickendam and
Nick Parsons set sail for Cowes, sunny
with good winds SW F6 gusting 7.
Friday evening drinks at RORC,
courtesy of Leigh and then dinner at
the Red Duster. Saturday morning,
after breakfast set sail for Lymington
via Beaulieu River with a lunch
stop at Buckler’s Hard, which was a
shipbuilding hamlet in the 18th Century,
built by the Duke of Montagu. Then
onto Lymington beating in F6, wind
against tide. Moored in Lymington
Town Quay with drinks on board before
an excellent Tapas at Brisa.
Sunday 29 June was a complete change
with becalmed seas, sailed and motored
to Osborne Bay and caught the Red
Arrows display over Ryde in the distance.
Anchored in Osborne Bay for lunch and
then back to Hamble in the afternoon. If
you would like to know more about the
WCIB Sailing Club please contact Selina.
Chotai@gmail.com
SHOOTING THE LIGHTS OUT
The Inter Livery Clay Shoot has been
going for 33 years and is now so big
that it has to be spread over two
days to accomodate well over 100
teams in the competition. The WCIB’s
participation began over a decade
ago thanks to the initiative of Former
Master Michael Llewelyn-Jones. I am
not sure exactly when I took it on but
quite some years ago, and I remember
having a huge struggle to put just one
team (for four) together, such that I
was the only member of the team who
was a member of the WCIB.
Times have changed! This year we
fielded a record five teams and had a
queue of disappointed applicants. We
shot 10 stands and two flurries, enough
to bruise your shoulder if you did not
mount the gun properly! Once again
our best shot was Freddy Angest and
once again the Ladies Cup was won
by Francina Mattison. Overall we did
not do badly – in the non-livery results
(which I think means any team that
has non-livery members) 1st was the
B team, 23rd A team, 25th E Team, 31st
D team, 32nd C team. An excellent day
out thoroughly enjoyed by all of us ! If
you wish to participate next year keep
an eye out for an email from the Clerk
around November/December – as
always it will be first come first served
and a maximum of five teams.
A FEAST OF NEW LIVERYWOMEN (AND MEN), AND FREEWOMEN (AND MEN)
At a Guildhall ceremony 14 July 2025, five new Livery Members were clothed, alongside 20 new Freewomen and men.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 37

LOOKING INWARDS
Balancing innovation and regulation
TECHPOSITIVE AT THE GUILDHALL
On 17 July 2025, the Worshipful
Company of International Bankers
(WCIB), in collaboration with the City
of London Corporation, hosted a highlevel
TechPositive event at the Guildhall
Club. The evening brought together
leaders from across regulatory,
innovation, and financial services
communities to discuss how emerging
technologies and agile regulation can
evolve hand in hand.
The session was opened by Alderman
Prem Goyal, who welcomed
participants and underlined the unique
role the City of London Corporation
plays in championing innovation and
policy leadership. His remarks set
the tone for an evening grounded in
partnership, purpose, and progress.
This was followed by a short address by
Master Nick Garnish, who noted that
the Guildhall — a place synonymous
with financial heritage — was a fitting
setting to reflect on the future of
digital regulation. He highlighted the
importance of enabling innovation
while safeguarding trust.
The panel discussion, designed by Kate
Shcheglova, Regulatory Innovation
Expert and Research Affiliate at
Cambridge Judge Business School,
and co-moderated by Mark Berman,
Founder & CEO of CompliGlobe Ltd,
focused on the FCA’s TechPositive
strategy and the regulator’s refreshed
innovation toolkit.
Opening the conversation, Colin
Payne, Head of Innovation at the
Financial Conduct Authority, offered
a forward-looking perspective on how
the FCA’s innovation-first approach
aims to encourage the market to
deliver meaningful solutions and
outlined progress across the authority’s
innovation ecosystem.
“Innovation knows no
borders and that’s why our
commitment to bilateral
partnerships and global
forums like GFiN is key
to shaping smarter, safer
financial systems together.
It’s great to work with WCIB
to promote and build new
opportunities,” Payne noted.
The panel included three further
expert voices representing the RegTech
ecosystem and financial innovation
space.
Leica Ison, Deputy Chair, The
RegTech Association & Founder/
CEO, Skyjed, reflected:
“What struck me most about tonight’s
discussion was the power of bringing
diverse voices together — from
innovators to institutions to industry
leaders. Through The RegTech
Association’s global ecosystem of
18,000+ participants across 85+
countries, we’ve learned that the
strongest solutions emerge from
collaboration, not isolation. As founder
of Skyjed, a RegTech for product
governance, I see this daily — our
best innovations happen when we
combine deep industry expertise
with cutting-edge technology and
real-world customer pain points.
Tonight’s conversation at Guildhall
Club reminded me that RegTech’s true
potential is unlocked when we build
bridges between different perspectives
— creating solutions that don’t just
meet compliance requirements, but
transform how organisations manage
risk and protect their stakeholders.”
Sarah Sinclair, Founder & CEO of Co-
Labs Global, shared a comprehensive
view of what collaboration must look
like in practice:
“The Financial Conduct Authority’s
move to tech-positive is a timely and
much needed shift. Industry must now
do its part and work collaboratively
with the regulators to leverage this
shift.
We must individually and together,
seize this moment of positivity and
urgency to solve the challenges that we
face – including the need for growth,
job creation, faster and safer adoption
of technology and AI, reduction of
fraud and economic crime, resilience of
organisations in the face of economic,
political and operational shocks. This is
not the responsibility of the regulators
Kate Shcheglova
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THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING INWARDS
alone, nor the industry – success will
only happen with true collaboration,
recognising that each has the same
shared goal.
“The answer lies within our control
as people – yes we need technology
and AI – but the gap between today
and tomorrow’s promises starts and
ends with people.Timing is everything
– today we stand on the shoulders of
giants – those that have built great
building blocks such as cross-border
trade agreements, open banking, data
privacy and sharing bills.
“Now we need pathways to join-up
collaborative initiatives that build
infrastructure to connect people,
data, tech, AI, business models and
regulation – to achieve smart data,
open finance, inclusion opportunities,
tech for good. The need for UK to
showcase its credibility and talent for
technology-driven growth, is urgent,
not least because technology is
drastically shortening the time taken
for technology businesses to start and
scale. This must however be balanced
with long-term sustainable growth,
which means we need to work together
to filter out the huge amount of noise
and distraction in the market.
“Risks are everywhere, but
opportunities are greater than ever
before. Let’s work together to make
technology and innovation work
and accessible for all – with practical
and effective risk management that
enables innovation and growth. This is
everyone’s problem to solve – we need
to front-run the work on ‘readiness’ for
technology and AI – let’s be curious and
take control of the future.”
Nick Wellington, RegTech Lead
Consultant, RegTech
UK, underlined the strategic
alignment between the growth of
the RegTech sector and the UK’s
broader economic agenda:
“Innovate Finance strongly supports
the Financial Conduct Authority’s move
towards a more tech-positive position.
This is a welcome addition and support
to the Government’s focus on growth.
“All stakeholders in the financial
services sector must use this
opportunity to work collaboratively
to seize this moment and solve the
challenges the sector faces. While
there are risks, the opportunities are
far greater. The global RegTech and
compliance sector is expected to
grow to the value of over $80 billion
dollars by 2032 and with the innovators
and compliance framework already
established in the UK, the sector is in a
strong position to reap the benefits of
that growth. Simply by gaining 20% of
the global market, a target well within
the capabilities of firms within the UK,
that would be worth over $16 billion
dollars to the UK economy. By grasping
these opportunities now the sector will
deliver the ambitious innovation and
growth the UK so desperately needs.”
Throughout the evening, it
became clear that the future
of regulation lies not in
resistance to change, but in
strategic readiness – building
the right partnerships,
tools, and mindsets to meet
complexity with agility.
Events like TechPositive play
an essential role in bridging
vision with execution.
The Worshipful Company of
International Bankers extends its
sincere thanks to the FCA, the City
of London Corporation, and all
contributing speakers and attendees
for their continued leadership and
engagement.
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 39

LOOKING INWARDS
WCIB Associates and Guild
of Young Freemen triumph
On 31st July, the WCIB Associates Committee held for the
first time its own annual banquet in partnership with the Guild
of Young Freemen at Girdlers’ Hall.
The event was titled “The Pillars of Tomorrow”, and was
originally conceived by Court Assistant Rafael Steinmetz Leffa
and Chair of the Associates Committee Jago Toner, who also
both sit on the Court of the Guild of Young Freemen. The
evening brought together Young Freemen – of which Rafael
is Upper Warden for 2025-26 - and members of the Financial
Services Group Livery Companies to celebrate the role of
emerging talents in shaping the future leadership of the City
of London. Representing the International Bankers were
Master International Banker Nick Garnish, Middle Warden Ali
Miraj, Past Master Michael Llewelyn-Jones, Past Master Angela
Knight CBE and Clerk Carole Seawert.
The keynote speaker was Past Master International Banker
Robert Wigley OStJ, the chairman of UK Finance.
The dinner was attended by many senior figures of the City
of London, including Past Lord Mayors Sir David Wootton
KStJ and Alderman Vincent Keaveny CBE KStJ, Sir Nicholas
Lyons KStJ and Chief Commoner and Past Master of the Guild
of Investment Managers Henry Pollard, as well as Alderman,
Sheriff-Elect and Past Master Investment Manager Robert
Hughes-Penney and Alderman Timothy Hailes MStJ. From
the Financial Services Group Livery Companies, were present
Master Chartered Accountant Jonathan Grosvenor JP, Master
Arbitrator Nicola Cohen, Master Communicators Jason
Groves CC and Upper Warden Tax Advisor Matthew Peppitt.
We are very grateful for the opportunity to collaborate
with the Guild of Young Freemen and hope this becomes
a permanent fixture in our annual calendar for our young
members.
Rafael Steinmetz Leffa
In his speech, he spoke about the City of
London as a financial centre and its resilience
and relevance for the financial services, and
reasons for young professionals to be optimistic
about London's ability to adapt and lead in
many specialist areas within finance and other
professional services.
Photographs courtesy of Carla Salvatore
40
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING INWARDS
A vibrant autumn
events programme
WCIB has a packed and varied events programme for the autumn. The highlight as
ever is the Installation Dinner at Merchant Taylors’ Hall on October 13, with guest
speaker Sir Douglas Flint CBE, Chairman of Aberdeen and of IP Group. He has
considerable global experience, including in Asia, and he remains actively involved
in international, financial and governance matters.
Previously, Sir Douglas spent over two decades at HSBC, serving as the banking
group’s chairman for seven years and as group finance director for 15 years. Prior
to this, he was a partner at KPMG. He was also previously a non-executive director
at BP from 2005-2011 and a member of the Mayor of Shanghai and Mayor of
Beijing’s Advisory Boards.
Sir Douglas received his CBE in 2006 and knighthood in 2018 recognising his
services to the finance industry. He serves as Chairman of the Royal Marsden
Hospital and Charity, and sits on the International Advisory Panel of the Monetary
Authority of Singapore.
KEEP AN EYE ON THE WEBSITE AND THE MONTHLY MAILS FOR OTHER TREATS, INCLUDING:
11th September – WCIB Autumn drinks at The Banker
28th September (waiting list only) – Inter-Livery Annual Sheep Drive
29th September – Election of Lord Mayor followed by lunch at Barber Surgeons’ Hall
6th October – History of the City of London (walking tour)
2nd October – Meet the UK and US Regulators – 28th annual London SEC Conference
8th November – Lord Mayor’s Show
8th December – WCIB December Xmas Drink Party at Wax Chandlers’ Hall
10th December – WCIB Carol Service at St Mary-le-Bow
11th July 2026 – Save the date: Master’s Dinner in Jesus College, Cambridge
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 41

LOOKING INWARDS
The workings of the
Finance Committee
NICHOLAS GRANT, CHAIR OF THE FINANCE COMMITTEE, ON ITS ROLE AND PROCEDURES
The Finance Committee's primary role is to oversee and
manage the Livery’s financial matters, ensuring responsible
stewardship of resources and adherence to financial
regulations. Within a not-for-profit members organisation, it
is a fundamental contributor to the longevity of the Company
and the Charity.
Responsibilities include budgeting, monitoring expenditure,
providing financial oversight and feedback to the Master and
to the Court. The Court is tasked with making operational
decisions and it is important that they have accurate
and relevant information provided on a formal quarterly
basis, or more regularly where any given project requires.
Overseeing the preparation of accounts is an essential area of
responsibility for both the Company and for the Charity.
The Committee also plays a crucial role in
overseeing the Company’s assets, including its
investment portfolio, ensuring good financial
health and stability.
We review regular reports quarterly including a budget, cashflow
analysis and investment performance in an open and
constructive approach.
THE COMMITTEE HAS SEVERAL KEY
RESPONSIBILITIES, IN DETAIL:
1. Budget preparation and scrutiny. This includes working
with the Clerk, Court and other Committees to align our
finances with our goals and priorities. The budget must be
scrutinised to identify any potential issues, and ensure it is
realistic and sustainable. Once agreed, the budget must be
tracked against actual expenditure, taking remedial action
where necessary.
2. Reporting. The Committee provides feedback to the Court
on the Livery’s financial health and investment performance.
This involves examining elements such as income, expenditure
and cash flow, as well as providing feedback on financial
proposals to ensure they are financially sound before being
implemented.
3. Governance. The Committee works with the Clerk to
ensure compliance with relevant regulation and standards as
well as the Company’s objectives. Controls must be in place
to prevent fraud and other errors, such as late subscription
payments, larger donations and event budgeting.
4. Transparency and accountability. Financial transparency
and accountability within the Company must be ensured, as
well as adherence to the Livery’s principles.
5. Managing investments. The Charity’s assets are invested
with a long-term time frame with the intention of ensuring
the financial health of the Livery. The Committee is required
to review and ensure these investments are appropriate and
secure, and generate a reasonable return with a balance of
capital and income.
There are always moving parts within the Company that
require thought and oversight as the Company continues to
grow year-on-year. At the WCIB, our fast-growing membership,
the great number of events that we hold each year and the
recent move to our new Hall, have all contributed to the
increasing strength of our balance sheet. This enables us to
enhance our work within the professional community, with
our military associations, and helps to sustain a healthy level of
charitable donations. The support of all our members is fully
appreciated.
Nicholas Grant is a Senior Investment Director at Canaccord Wealth
42
THE INTERNATIONAL BANKER / SUMMER 2025

LOOKING INWARDS
The Journey to
Livery Scheme
MARK HENTHORNE ON THE GROWTH
OF A FAST STREAM FOR NEW RECRUITS
The Journey to Livery Scheme was created to give Associate
Members the potential to progress more quickly within the
Company.
Traditionally in a Livery Company, Journeymen (and women)
were craftspeople who had finished their apprenticeships
and became Freemen but who at that stage had not set up an
independent business.
Historically and today, it is seen as an honour and a privilege to
be selected onto the Scheme.
The WCIB’s Journey to Livery Scheme is designed to give
Associates who have proven themselves to be interested and
actively involved in the WCIB the opportunity to:-
• Potentially progress to Livery faster than might
otherwise occur.
• Become involved in the WCIB Standing Committees.
• Have the opportunity to become involved in City Civic
Life and discover more of the working of the City through
programmes with the Guildhall and Mansion House.
• Have access to a Mentor who will be Senior Member of
the WCIB for advice about the WCIB, the Livery movement
as a whole and City Civic Life.
The next cohort will start the scheme in January 2026. If
you are an Associate Member and are interested in joining
the scheme and for more information, please contact Mark
Henthorne, Chair of the Communications Committee and
member of the Liverymen’s Committee:
mark.henthorne@marsh.com
Check out our the shop in the Members Area of
the WCIB website www.internationalbankers.org.uk
A welcome
from the Clerk
A warm welcome to all those who have joined the WCIB
recently. As a new member, you begin your journey with
the Company as a Freeman. Once you have been a member
for two years, you can apply to the Livery Admissions Panel
to be considered for advancement to Liveryman/woman.
To be accepted for an interview, you need to have received
your Freedom of the City of London from the Chamberlain’s
Court (the online application form is here) and to have
demonstrated commitment to, and engagement with, the
WCIB. James Nisbet, the Livery Committee Chair, wrote about
the advantages of becoming a Liveryman in the last issue of
the magazine. If you have any questions about the process of
advancement, please do contact me.
SHEEP DRIVE
The 20 places for the annual sheep drive at the end of
September have been snapped up. If you didn’t manage to
secure a slot, we will be looking to reserve 20 places again next
year. It’s always the last Sunday in September.
AUTUMN EVENTS
The Events Committee is busy putting together its autumn
schedule of events. Don’t forget to put September 11 in your
diary for the informal drinks at The Banker in Cousin Lane. The
Installation Dinner (October 13) will be at Merchant Taylors’
Hall once again and our carol service (December 10) will be
at St Mary-le-Bow on Cheapside – this is a joint event together
with the Actuaries, City of London Solicitors and Scriveners.
Watch this space for details of our Christmas party.
Carole is based at our office in Wax Chandlers’ Hall. You can reach
her on the usual email address: clerk@internationalbankers.co.uk Her
work days are Monday to Thursday.
WCIB-branded telescopic umbrellas are coming soon!
THE WORSHIPFUL COMPANY OF INTERNATIONAL BANKERS 43