A parliamentary committee report into the Libor fixing scandal has criticised the Bank of England (BOE) and regulatory body the Financial Services Authority for failing to spot the manipulation of the key interest rate.
The Treasury Select Committee noted that while central bank staff were aware there was a danger banks may manipulate their submissions, they did not believe this was occurring.
"With hindsight this suggests a naivety on the part of the Bank of England," the report stated.
However, the MPs cleared the BOE of directing Barclays to manipulate the rate lower, saying the British bank "did not need a nod, a wink or a signal from the Bank of England to artificially lower Libor submissions".
The Bank of England, the FSA, Barclays and the bank's ex-CEO Bob Diamond have been criticised by MPs investigating the Libor fixing scandal
MPs have produced a withering report on the Libor rate rigging scandal. The Bank of England and the FSA look particularly bad.