US closer to reforming banking

The United States moved closer to reforming the banking system yesterday when the final wording of the bill before Congress was agreed.  It goes someway towards restricting the range of activities banks can engage in, such as proprietary trading.  It also includes a new one-off levy on the banking system which is expected to raise $19bn.

While not perfect and not the full version of the Volcker Rule, this is a significant step in the right direction.  We should learn from it here in the UK.