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BREAKING NEWS

U.S. Congress votes to ease banking restrictions

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U.S. Congress votes to ease banking restrictions

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The U.S government has moved a step closer to easing restrictions on banks introduced after the financial crisis. The tighter regulations, known as Dodd-Frank, were brought in to increase oversight in the sector to avoid a repetition of the events like the collapse of Lehman Brothers.

But critics, including President Trump, argued that the law was too complex and restrictive and prevented growth. They also argued that it put smaller banks at a disadvantage and discouraged lending.

The move to repeal the legislation won bipartisan support and now Congress has voted in favour, it only remains for the president to sign it into law.

The House of Representatives voted 258-159 to approve the measure.

Those against repeal argue that it could lead to a return of reckless behaviour by lenders.