In a bipartisan vote, no less.
The House on Tuesday passed a plan to roll back banking regulations passed in response to the 2008 financial crisis, sending the bill to President Trump to sign.
The measure leaves the central structure of the post-financial-crisis rules in place, but it would make the most significant changes to weaken the Dodd-Frank banking regulations since they were passed in 2010. It would exempt some small and regional banks from the most stringent regulations, and also would also loosen rules aimed at protecting the biggest banks from sudden collapse.
The measure is nearly certain to become law after its passing in the House, 258 to 159, on Tuesday with nearly all House Republicans and 33 Democrats voting for it. The Senate approved the bill in March with bipartisan backing, and White House officials said that Trump plans to sign it in the coming days.
The bill’s supporters say it provides needed relief for community and local banks withering under Washington’s regulations. But critics charge it opens the financial system back up to the abuse and risky behavior that brought the U.S. economy to its knees a decade ago — and does so at a time when financial firms are posting record profits.
This law was a classic legislative over-reaction to a crisis.