The Future of Banking Commission wants improvements in saver protection and restructuring of banks.
The commission was set up by consumer group Which? and is chaired by Tory MP David Davis.
He told the BBC that big banks must be broken up in order to prevent another financial crisis.
"If we don't do something, next time [a crisis] happens it will break the country - it will go bankrupt," he told the Andrew Marr Show.
He said breaking up the banks would be "tough to do, but it's got to be done".
Earlier, Mr Davis said fatal flaws in the banking structure had almost crippled the world economy.
He said the commission's proposals should prevent matters coming to such a head again.
"If we don't do something, next time [a crisis] happens it will break the country - it will go bankrupt," he told the Andrew Marr
Show. He said breaking up the banks would be "tough to do, but it's got to be done".
Earlier, Mr Davis said fatal flaws in the banking structure had almost crippled the world economy.
He said the commission's proposals should prevent matters coming to such a head again.
The commission, which was set up last December, gathered evidence from regulators, consumer groups and business leaders including Bank of England governor Mervyn King, the Financial Services Authority chairman Lord Turner and the current Business Secretary Vince Cable.
Its recommendations will be delivered to 11 Downing Street, with the hope that they will shape government's policy on financial reform.
Executives from the UK's largest banking groups contributed to the commission and it also took evidence from consumers.
The commission says its recommendations aim to put ordinary people at the heart of a reformed banking system.
They include reforms to the structure of banks so if they fail, depositors are protected, and the introduction of new competition and regulatory regimes that make bank boards responsible for both meeting customers' needs and for their own solvency.
