From the BBC’s Nick Robinson:
The government is to set up a wider inquiry into banking to report by the end of the year.
It will not be a full Leveson-style public inquiry. However, it will be separate from, and much wider than, the inquiry already announced into the abuses of LIBOR – inter-bank lending rate – at Barclays and other banks.
The aim will be for its conclusions to lead to instant changes in the law in the Financial Services Bill, which is currently going through Parliament.
The chancellor will spell out the detail this afternoon. I understand that the prime minister and the deputy prime minister have met this morning to agree the details.
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