Lloyd’s CEO Richard Ward’s determination to modernise the market’s processes is becoming more obvious. Last week his “carrot and stick” approach was put aside in favour of the big stick, with Mr Ward saying he will force internal reform if the market fails to modernise.

Managing agents have been told by Mr Ward to update such processes as electronic claims files, accounting and settlement repository, or the Lloyd’s Franchise Board will mandate change.

He says the market’s failure to voluntarily embrace reform is damaging its competitiveness.

“The pace of change… is still too slow,” he said last week. “Improvements to the market’s processes are fundamental to the ongoing competitiveness of the Lloyd’s market.”

By now Lloyd’s expected to have 40% of the market using an automated accounting and settlement repository system, but so far only 17% of the market has taken it up.