Yesterday (19 December), chancellor George Osborne issued the administration's formal response to the proposals put forward in the Independent Commission on Banking's (ICB) report released in September.
Within this document, it was stated that major financiers should have to fence off their retail banking arms from their investment divisions in order to avoid a repeat of the situation where taxpayers' money was needed to bail them out.
And Mr Osborne - who is also MP for Tatton - has pledged these proposals will be fully implemented by 2019, with further information to be provided in a White Paper next spring.
"The government is preparing the most far reaching reforms of British banking in our modern history - our objective is to make sure what happened in Britain never happens again," he noted.
By Asim Shah