Tories name men to lead break up of FSA - papers

Two Bank of England directors have been earmarked to take control of transferring banking supervision from the FSA to the central bank if the Tories win the election.

The Independent reports Paul Tucker, a deputy governor of the Bank, and Andrew Bailey, executive director of special operations in the banking sector, are the two bankers who the Conservatives believe are best equipped to deal with the interim period ahead of the proposed break-up of FSA.

Early talks have taken place between them and the Tory treasury team, led by the shadow Chancellor, George Osborne, but it has not yet been decided which of the two would take prime responsibility.

Plans to dismantle the FSA, widely criticised for its "light-touch" regulation for not catching many of the funding problems leading to the collapse of Royal Bank of Scotland, Northern Rock and HBOS, are at the heart of Tory policy to sharpen up City and banking regulation.

The plans involved abandoning Labour's tripartite system of regulation by returning oversight of banking to the Bank while creating a new consumer watchdog to deal with mortgages, insurance products and other financial issues such as advice. See story...

Barclays to help find a buyer for Liverpool FC

The US owners of Liverpool Football Club have appointed Barclays Capital, the investment banking arm of the UK bank, to help find a buyer for the 120-year-old Premiership club.

The FT reports Tom Hicks and George Gillett, the US sports franchise owners who bought Liverpool in 2007 for £219m, had previously drafted in Merrill Lynch and Rothschild to attract minority investors.

The appointment of Barclays, which sponsors Premier League football, sends a clear signal that the pair are now stepping up their efforts to achieve an outright sale.

They are also in discussions with Martin Broughton, the chairman of British Airways, and are expected to announce his appointment as chairman of Liverpool within the next week. See story...

Aussies NAB look at listing

The National Australia Bank (NAB) is working on plans for a £2 billion flotation of its UK operations.

The Times reports advisers from Morgan Stanley and Goldman Sachs have been drawing up plans for a possible listing as part of a broad review of the future of NAB's Clydesdale and Yorkshire banks.

The plan would be put into action if NAB fails to acquire a network of 318 branches being sold by Royal Bank of Scotland. Banking sources describe it as a "double or quits" strategy that has been put forward by Lynne Peacock, chief executive of NAB in the UK.

Winning the RBS auction would almost double NAB's network, making it a serious high-street competitor. See story...