Corporate governance has very much been on the news agenda over the last seven days. Last week saw the publication by Sir David Walker of his recommendations for corporate governance in banks and other financial entities. Today, the Financial Reporting Council has published its own proposals for reform of the Combined Code.

That there have been some individual failures of governance within the banking sector isn’t in doubt. The public are right to be angry, not just at the perception that those whose decisions led us into this crisis haven’t been held accountable for their actions, but that banks could be reverting back to the behaviours and practices which may have contributed to the crisis in the first place.

Rebuilding confidence will take time – and the financial services industry needs to ensure not only that it has learnt the lessons of the crisis but is seen to have learnt them. I believe that Sir David’s recommendations need to be accepted and implemented in such a way that is clear and transparent – and which will help to restore trust and confidence.

The FRC’s conclusions and recommendations affect all listed companies in the UK. Our own research, carried out on behalf of the ICAEW Foundation, is in line with their conclusions that the Combined Code is generally fit for purpose. Rightly, they have placed the emphasis on behaviours - how directors, exec and non-exec, apply the principles of the code. Listed companies of all sizes should be looking to best practice in terms of the induction, training and development of their directors.

The reforms announced by the FRC will, in my view, help this process. Only by improving the behavioural side will confidence in the leadership of business, particular in the financial sector, be restored.