Andrew Tyrie MP, chairman of the Treasury Select Committee, has questioned the accountability of the Court of the Bank of England.

The Committee has been reviewing the Financial Services Bill ahead of its second reading in the House of Lords on 11 June.

Mr Tyrie feels the Court of the Bank of England should change to a Supervisory Board as stronger public and parliamentary accountability is required and it should undertake retrospective reviews of the Bank’s performance.

This supervisory board would be made up of a Governor, deputy governor, external chairman and four other external members instead of the Court’s current twelve members.

When public funds are at risk, the Chancellor of the Exchequer should be able to direct the Bank of England, rendering him fully responsible and accountable to Parliament for its handling.

Mr Tyrie said: “The Financial Services Bill is the most important overhaul of the financial regulation ever undertaken in this country. It is crucial we get it right. This Bill will transform the regulation of Britain’s leading global industry.

“The Bank must not be permitted to carry on with an outdated Court. We must ensure the Court can operate, as far as possible, according to corporate governance best practice.”

The Committee has also questioned the speed with which the Bill is being carried out. The Bill is expected to be completed by the end of the year but multiple amendments have already been made and Mr Tyrie suggested it was ‘better to take a little more time, and get it right, than rush it’.