King Says BBA Had to Be ‘Nudged’ in the Right Direction in ’08

Bank of England Governor Mervyn King said the British Bankers Association had to be “nudged” to address concerns on Libor in 2008.

“They did have to be nudged to get into the right direction, but once they had been nudged they worked very hard,” he told lawmakers in Parliament in London today.

“I don’t believe the BBA could possibility be held responsible for monitoring whether the rate was 1 basis point too high or too low,” he said.

To contact the reporter on this story: Jennifer Ryan in London at jryan13@bloomberg.net

To contact the editor responsible for this story: Jennifer Ryan at jryan13@bloomberg.net