CARMARTHEN East and Dinefwr MP Jonathan Edwards has called for the Bank of England to become answerable to the Welsh Assembly.

Speaking at a debate during the second reading of the The Bank of England & Financial Services Bill at the House of Commons on Monday, Mr Edwards – Plaid Cymru’s Treasury spokesman – called for sweeping changes to the role of the Bank which, he said, would ensure that "fiscal and economic policy is no longer the preserve of Westminster."

Mr Edwards said that devolution and the changing power structures which now make up the UK required major alterations to the governance and accountability of fiscal policy.

Mr Edwards called for the renaming of the Bank of England to the Sterling Central Bank to better reflect its role in the modern era.

Speaking ahead of the debate, Mr Edwards said discussions on the Bill offered “the perfect opportunity to reiterate Plaid Cymru's position on matters relating to the Bank”.

He also said that due to monetary policy and interest rate decisions taken by the Bank impacting across the whole of the UK, its Governor should be accountable to the economic committees of devolved parliaments.

"The Bank of England's name should be modified to reflect its status as the central bank for all the nations,” he said.

“A much better name would be 'Sterling Central Bank' to reflect our shared currency.

"Another crucial modification to the Bank's governance – and to reflect the reality of economic and financial devolution within the UK – would be to extend the Bank's democratic accountability to include not just the UK Parliament, but also the devolved governments and Parliaments of the nations.

"Just as the Bank's top brass appear before Parliament to justify their decisions on interest rates and monetary policy, so they should appear before the devolved Parliaments.

In addition, he called for the Lloyds Banking Group, which holds the rights for the Bank of Wales brand and is in part publicly-owned, to be given the right to issue Welsh banknotes, in line with those in Scotland and Northern Ireland.

Mr Edwards claimed such power "would come as a much welcomed boost to Wales' national character, her recognition as an equal nation and as an economic entity."

Mr Edwards also proposed that Wales have a seat on the monetary policy committee which decides interest rates.

“Too often decisions are made in London without a thought for Wales or the other nations," he said.