Former BBA Head Apologises For Role in PPI Scandal, Libor Rigging

January 15, 2016
by admin in PPI News

Angela Knight, the former British Bankers’ Association boss from 2007 and 2012, faced questions of credibility after her alleged mis-handling of the banks during the height of the PPI crisis and the emergence of Libor rigging scandals.

Knight said “I did what I could in the face of a hurricane”

“I found myself in charge [at the BBA] at the time of the biggest banking crisis in history. I did what I could in the face of a hurricane.

“If someone who does a difficult job and finds themselves in a very tricky position does what they can, is thereafter told, ‘You can’t do anything else,’ you’ll never get anybody to do a difficult job again. I tried my best.”

In 2011, banks legally challenged the then-Financial Services Authority whether it was correct to refund for payment protection insurance mis-selling. Knight had disagreed with the judicial challenge and wished to resign as she was not in a position to lead the BBA during the time.

Knight admitted she was forced to defend the industry.

As for Libor, she had intended for the Bank of England to have a higher role as an observer.

The PPI claims process formally began after taxpayer-backed Lloyds began paying refunds to consumers on May 2011. The UK Supreme Court had also favoured the City watchdog’s stand to refund consumers mis-sold PPI.