Brooks Newmark (Whip, Whips; Braintree, Conservative)

When he last met the Governor of the Bank of England to discuss reform of the banking sector.

Ian Pearson (Economic Secretary, HM Treasury; Dudley South, Labour)

The Chancellor of the Exchequer and the Governor of the Bank of England meet regularly to discuss a range of issues.

Brooks Newmark (Whip, Whips; Braintree, Conservative)

Given that and the fact that when Lehman Brothers collapsed neither it nor the banks actually understood the counter-party risks, has the Minister discussed the right systems and ensured that they will be in place when the system is reformed?

Ian Pearson (Economic Secretary, HM Treasury; Dudley South, Labour)

As the hon. Gentleman rightly points out, the collapse of Lehman Brothers was of systemic importance to not only the US economy, but the world economy, and he will be very aware of the actions that followed it. The issue has had extensive scrutiny, and he will also be aware of the administration position at the moment. Those lessons have and are being learned, which is one of the reasons why actions have already been taken by the Financial Services Authority and it is another reason why further reforms in the financial services Bill will follow the Queen's Speech.

Anne Begg (Aberdeen South, Labour)

May I ask my hon. Friend, as my constituents are also asking, what the Government are going to do in terms of taking up the regulation of the whole financial sector and not just the reform of the banks?

Ian Pearson (Economic Secretary, HM Treasury; Dudley South, Labour)

As my right hon. Friend the Chancellor has pointed out on a number of occasions, we cannot return to business as usual. Reforms have been implemented already and more action needs to be taken. I am sure that my hon. Friend will want to support the Government's future legislative programme, which will have an important piece of legislation—the financial services and business Bill—contained in it.