Banking/Addendum

English banking legislation

• Bank of England Act[1] 1694]

founded the Bank of England.

• Bank Charter Act[2], 1844.

gave the Bank of England the exclusive right to issue banknotes and tied the note issue to the Bank's gold reserves..

• Bank of England Act[3] 1946.

the nationalisation of the Bank of England.

• Building Societies Act[4], 1986.
• Banking Act[5] 1987 (repealed).
• Bank of England Act[6], 1998.

gave the Bank responsibility for setting interest rates to meet the Government's stated inflation target.

• Banking Act[7]

included the Special Resolution Regime[[8], 2009.

United States banking legislation

• National Bank Act of 1864

Established a national banking system and the chartering of national banks.

• Federal Reserve Act of 1913

Established the Federal Reserve System

• Amendment of the National Banking Laws and the Federal Reserve Act

(also known as The McFadden Act) Prohibited interstate banking.

• Banking Act of 1933 .

(also known as the Glass-Steagall Act). Created the Federal Deposit Insurance Corporation. Separated commercial banking from investment banking.

• Bank Holding Company Act of 1956

Required Federal Reserve Board approval for the establishment of a bank holding company. Prohibited bank holding companies in one state from acquiring a bank in another state.

• International Banking Act of 1978 .

Brought foreign banks within the federal regulatory framework. Required deposit insurance for branches of foreign banks engaged in retail deposit taking in the U.S.

• Depository Institutions Deregulation and Monetary Control Act of 1980[9]

Provided for the gradual elimination of all limitations on the rates of interest which are payable on deposits and accounts

• Depository Institutions Act of 1982

(also known as Garn-St Germain). Expanded FDIC powers to assist troubled banks.

• Securities Industry Association v. Board of Governors (1984)[10]

Following a series of Supreme Court interpretations that relaxed the restrictions of the Glass-Steagall Act, the Court allowed a bank holding company to operate a discount brokerage firm.

• Gramm-Leach-Bliley Act of 1999

Repealed the Glass Steagall Act of 1933, and introduced other changes including expanding the Federal Home Loan Bank System.

• Wall Street Reform and Consumer Protection Act of 2009[11]

( See also the FDIC's "Important Banking Legislation" [12])

European banking legislation

• EC Directive 2006/48/EC[13], 2006

• Commission Directive 2009/27/EC[14] of 7 April 2009

• Proposal for a directive amending Directives 2006/48/EC and 2006/49/EC as regards capital requirements for the trading book and for re-securitisations, and the supervisory review of remuneration policies[15] (Citizens' summary[16]).

Banking leverage

(Bank equity, per cent of assets)

	1880	1920	1940	1980	2005
United States	24	11	10	5
United Kingdom	11	5	5	5	4

(Source: Andrew Haldane Banking on the State, Bank for International Settlements[17])