What Was the British Bankers Association (BBA)?

The British Bankers Association (BBA) was a trade organization for the banking sector in the United Kingdom. Headquartered in London, the BBA represented the interests of a range of 澳洲幸运5官方开奖结果体彩网:financial services companies and was owned and overseen by its members. As such, it was considered to be the voice of British banking. Originally intended only for British banks, the organization opened membership up to other banks operating within the U.K., including foreign institutions. The BBA officially dissolved after it merged with other organizations to form UK Finance in 2017.

Understꦑanding the British Bankers A𓂃ssociation (BBA)

The British banking industry is robust and resilient, according to the 澳洲幸运5官方开奖结果体彩网:Bank of England (BoE). The country's 澳洲幸运5官方开奖结果体彩网:central bank is responsible to ensure that domestic banks run safely and smoothly—the same way the 澳洲幸运5官方开奖结果体彩网:Federal Reserve System does for banks in the United States. But the interests of British banks and financial instituti♊ons were represented by the London-based British Bankers Association.

The BBA was created in 1919 after the Central Association of Bankers and the Association of English Country Bankers merged into a single unit. At the time, it made more sense to have a single association that would advance the interests of the country's banking industry. Membership was restricted solely to British banks until 1972 but the organization opened up to foreign institutions operating in the country.

More than 230 members, based in over 50 countries, were part of the BBA. The agency lobbied on behalf of its members, providing its view on the legislative and regulatory system for banking in the U.K. It was also responsible for improving the country's Banking Code, Small Business Code, accounting principles, and European regulations regarding banking practices.

In July 2017, the BBA merged with Payments UK, the Council of Mortgage Lenders, the UK Cards Association, and the Asset Based Finance Association to form UK Finance. The merger aimed to "promote a safe, transparent and innovative banking and finance industry." UK Finance works with more than 300 different member organizations in an effort to boost competition, provide support to customers, and promote 澳洲幸运5官方开奖结果体彩网:innovation.

Responsibilities of the BBA

The BBA had a number of key responsibilities. This included functions within the financial services industry, including retail and commercial bankin🧔g. Some of the other key duties of the BBA were:

• Informing and educating members as well as the public about issues related to the financial services industry, including banking.
• Helping consumers link back to dormant accounts through the MyLostAccount website
• Establishing and operating GOLD or the Global Operational Loss Database. This is a loss data consortium that was launched in 2000 by the BBA. The tool was used to manage operational risk by BBA members.

The BBA was also responsible for setting 澳洲幸运5官方开奖结果体彩网:benchmark rates, such as the 澳洲幸运5官方开奖结果体彩网:London ꦰInterbank Offered Rate (LIBOR). This was the rate that some global banks charge each other for short-term loans.

London Interbank Offered Rate (LIBOR)

In 2012, it became clear that banks were manipulating the LIBOR. 澳洲幸运5官方开奖结果体彩网:Investigations over the alleged rat❀e rigging were initiated in more than a dozen banks. 澳洲幸运5官方开奖结果体彩网:Barclays Bank was fined £59.5 million for failings related to the LIBOR and EURIBOR in accordance with the Financial Services and Markets Act 2000.

The UK’s Chancellor of the Exchequer commissioned Martin Wheatley to conduct an independent review of the various aspects of LIBOR in June 2012. The most important recommendation made by the Wheatley Review of LIBOR was to hand over the LIBOR to a new administrator. On Feb. 1, 2014, 澳洲幸运5官方开奖结果体彩网:Intercontinental Exchange (ICE) Benchmark Association became the official administrator of the LIBOR, bringing more transparency as well as a robust oversight and governance framework.

ICE stopped publishing one-week and two-month USD LIBOR after Dec. 31, 2021. All other LIBOR was discontinued after June 30, 2023. The LIBOR rate was replaced by benchmark rates based on the 澳洲幸运5官方开奖结果体彩网:Secured Overn🧜ight Financ♓ing Rate (SOFR) after this date, according to the Federal Reserve.

British Bankers' Association (BBA) vs. American Bankers Association (ABA)

The British Bankers' Association is the British equivalent of the American Bankers Association. Like the BBA, it is a trade association that represents the interests of banks and financial institutions across the United States, including small, regional, and large banks.

Some of the key responsi🍌bilities of the ABA include:

• Lobbying for financial institutions
• Training members and organizations
• Conducting industry research
• Ensuring that members remain compliant and are up-to-date with changes in regulation
• Providing members with the latest technology

The ABA was established in July 1875 and was chartered in Saratoga, New York. At the time, it represented the interests of 350 banking individuals in 32 states and territories. That membership has grown to roughly two million bank employees.

The Bottom Line

The British Bankers' Association was a key part of the 澳洲幸运5官方开奖结果体彩网:bankin♛g industry inඣ the United Kingdom. It lobbied for and represented the interests of many institutions in the country—first, for British banks and then for foreign banks operating in the U.K. The BBA was an important part of the banking system as it lobbied on behalf of its members. The organization no longer exists, as it was merged with four other key financial groups to form UK Finance in 2017.