Treasury has confirmed the Terms of Reference (ToR) of the review it has asked Martin Wheatley to carry out following the LIBOR settling issues. The review will cover:

  • the current framework for settling and governing LIBOR, and whether activities related to it should come within the Financial Services and Markets Act 2000 (FSMA) regulatory perimeter;
  • the scope for criminal and civil sanctions to address LIBOR-related activities; and
  • whether the recommendations the review will make in relation to LIBOR should apply to other price-setting mechanisms.

The review will publish a consultation paper on 10 August, and will need comments within four weeks to meet the challenging deadline of reporting by the end of September. (Source: Treasury Announces Wheatley Review ToR)