Brits Plan LIBOR Reforms

    LONDON, ENGLAND - FEBRUARY 16:  A view of 30 St Mary Axe, also known as "The Gherkin" (centre) and Lloyd's Building (Lloyd's of London offices) in the foreground, viewed from the top of The Monument, the world's tallest isolated stone column, on February 16, 2009 in the City of London, England. The Monument, built to commemorate the Great Fire of London of 1666, has reopened after a £4.5 million restoration project taking 18 months.  (Photo by Oli Scarff/Getty Images)

    Oli Scarff / Getty Images

    In recent years, several banks have colluded to manipulate LIBOR, benchmark rates that underpin trillions in assets worldwide. Now, Martin Wheatley–managing director of Britain's Financial Services Authority–is unveiling a plan to stop them from doing it again. Due to publish his agency's full review on Friday, Wheatley previewed a number of key changes on Thursday. It may become mandatory for more banks to provide quotes to LIBOR, he said, in order to curb the ability of a few banks to move the numbers. Wheatley also suggested basing rates on real trade data, rather than self-submitted estimates.

    Read it at Reuters