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MPs rubber-stamp plans for tougher regulators

by Daniel Grote on Dec 12, 2012 at 08:42

MPs rubber-stamp plans for tougher regulators

MPs have rubber-stamped plans for tougher financial services regulation after approving the final version of the financial services bill.

MPs' approval of the bill followed amendments proposed by the House of Lords to broaden the mandates of the regulatory bodies created by the legislation, the Financial Times has reported. The changes included handing the FCA a mandate to ensure access to financial services.

Under the bill, the Financial Services Authority will be abolished and replaced by the Financial Conduct Authority (FCA)and Prudential Regulation Authority. It will now go to the Queen for royal assent.

The bill hands the FCA authority over benchmarks such as Libor, while the Bank of England will be granted greater discretion to wind up of rescue failing investment groups.

Treasury Select Committee chairman Andrew Tyrie earlier this week warned that the amendments to the bill were being rushed through parliament.

11 comments so far. Why not have your say?

Ian Lees

Dec 12, 2012 at 09:47

Another example of a Government who lacks commitment, interfering with industries they know nothing about - Mr Cameron and a Government who is not listening - to anyone. Given this is a result of David Camerons lack of knowledge, his cock ups with regulation . . . . the whole thing is a mess ! in fact cameron has made a real" Eton Mess ",of regulation . . . the destruction of the insurance industry . . . and . . . . . . the destruction of UK Plc . The Olympic Games were a success, and the Governemtn and Seb Coe has taken the plaudits for this .. .despite the fact it was actually . . . . as a result of the commitment from the athelites . . . Now London is left with the balck holes - of stadiums empty . . as a result of no proper forward planning . . . .or skill or judgement . . . .which is strikingly similar to Edinburgh some decades ago .. . before their black holes . . . were filled with the remnants of the Scottish insurance industry and the remaining company Standard Life and the wholly owned susidiaries of Edinburgh's banks TSB who own the likes of . . . Scottish Widows who were used to fill a black hole ( whislt creating balck holes in pension funds ? ) - still housed in Edinburgh and Scotland in Slamonds - black hole economy. Even the European Community will ask Salmon to apply for membership ? Oooops !

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Charles Rickards

Dec 12, 2012 at 09:48

Great opportunity for more jobs for the boys and girls!! As usual MPs rubber stamping further bureaucracy and cost without due consideration for the impact it will have those being regulated and ultimately consumers. But hey ho, that is the style of government the world has become accustomed to, which will have to change when the money to pay for it runs out.

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Jonathan Kirby

Dec 12, 2012 at 10:01

Virtually nobody in Government seems the remotest bit interested in what is probably the most important industry this country has left. If people don't save for their futures then in the words of Dad's Army, 'We're Doomed, all doomed'.

Just as every other major industry has been destroyed from steel, manufacturing, textiles and even much of agriculture, they seem blind to the consequences for UK plc.

Yet financial services is perhaps the only one that can't be exported to China for cheaper manufacturing costs.

What is needed is not a bigger fist to smash things up with but a regulator who understands what is needed and nurtures the remnants back to health but I see only signs of the exact opposite.

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Man of Kent

Dec 12, 2012 at 10:58

@ Ian Lees

How, exactly, is the current Government responsible for the regulatory dog's dinner we have? The FSA replaced previous regulators in 2001 with its current powers from FSMA 2000. It is now, apparently, both operationally independent of government and answerable to Parliament via Treasury ministers. I'm not saying the new structure will be any better, but it's unlikely to be much worse.

David Cameron gave due credit to the efforts of the previous Government in securing and planning the Olympics. Seb Coe got credit where it was due for his part in the planning and implementation. The 'athelites' (sic) didn't organise it. There is detailed legacy planning in place which, peculiarly, doesn't seem to have featured in the organisation of previous Olympics. Maybe they should apologise because it hasn't all been done and dusted within 3 months?

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Steve Holloway

Dec 12, 2012 at 11:15

What has been lost in all that has been written before, is that there has been and still is a culture of creating jobs for the career MP and the likes via regulators and the likes. The real issue is the demise of the advice sector, governments present and past along with the FSA have to take responsibility for that! They fein interest for the well being of the customer, when their objectve all along was to have the banking sector continue to provide poor quality advice at an exorbetent cost. The result is the largest mis-selling scandals by the banking sector and a complete lack in confidence by the consumer in Government, regulation and the financial services sector.

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madmitch

Dec 12, 2012 at 11:18

All credit to the athletes, the hoardes of volunteers and everyone else who put their time and effort into making the olypmics a success.

But to be fair the whole thing would have become a shambles without he intervention of probably the last of our institutions who still retain a degree honour.

We could probably do with a few military thinkers down at Canary Wharfe.

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James Barr

Dec 12, 2012 at 12:15

and so it goes on. if they applied themselves to creating more work for the hordes of people on unemployment benefits instead of bashing the ones that actually try to work with the stick of regulation.

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michael bates

Dec 12, 2012 at 12:19

So Parliament is AGAIN going to be unable to control the Regulator by giving itt greater powers? Isn't this what allowed the industry to corrupt the FSA without fear of backlash from the TSC in the first place? (Getting rid of a tedious broker profession which, on the consumers behalf, filtered out all the crap that the product producers want to sell - ).

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Ian Lees

Dec 12, 2012 at 12:28

MP's used t be statesmen ( and women ) people of principle - competent, knowledgeable who set the terms of business - and allowed industry to get on within the rules. Now MP's are interfering busy bodies - who if not in the jungle are juggling their expenses - and negotiating from Barclays - or other bank for their on going bonuses - in the circle of deceit at these drug and money laundering institutions e.g HSBC and Edinburgh based bank TSB. It is interesting that under Phoney Blair - he went to war without anyone in the cabinet having any knowledge of war, or army or airforce or Navy experience - and we are now see ing the results. Whislt his wife negotiates free t shirts from Man United - phoney blair is middle eastern envoy ? UK plc has been destroyes as a nation - and I cannot wait for the new influx of immigrants in 2016/2017 ? It is interesting that US of A has purchased many Uk companies - even the Dutch ( Aegon - who sponsor tennis ) purchased Aegon. German companeeis have infiltrated UK en France e.g Society Generalle ( as opposed to General ? ) have become household names - whilst the UK insurance industry directors have been bought and sold - with the CII looking on ? With the UK's insolvent banks ( as opposed to those money laundering the "solvents" - and abuse ) - and the refusal of banks to provide depositary functions - it is interesting that Banks will only offer bank account to businesses - with turnover in excess of £ 2,M

Is that what Vince Cable instructed ?

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Green Eyed Monster

Dec 12, 2012 at 12:40

@ Ian Lees

Can you confirm you are an IFA, are RDR ready and will still be with us after 1/1/13?

If not I may cancel my subscription to NMA, as I would be bereft without my daily fix of your 'anti-widows' ranting!

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Ian Lees

Dec 13, 2012 at 10:21

To the " Green Eyed Monster ", are the green eyes - envy ? Why do you hide behond a childs " monster" play toy ?

Facts:

1.1 Scottish Widows forged my signature on my annual appraisal ( that means without my agreement ) - what kind of employer does that ?

1.2 Scottish Widows Trustees - stole my pension fund - by being negligent in the first instance - failing to conduct a proper " Cash Equivalent Calculation " from the SWRBS final salary scheme ? When I notifuied them - rather than conduct the revised cash equivalent calculation - a requirement under Law -The sloppy Trustees of SWRBS - refused -and requested Scottish Equitable to calculate the cash equivalent ? What kind of employer does that ?

1.3 I purchased my house on discounted terms - through the scottish widows and theri use of the with profits fund ( with scottish widows taking a percentage share of the house ). When I resigned as a result of the Fraud at Scottish Widows - and the refusal of their Directors ( including "old" . . . . .Angela Knight ex ABI abd BBA - and chief, thief executve . . . micky DRoss . . . . and his " big guns " , his chums etc., ) - the sloppy widows had kept no records . . .had no idea how much my mortgage was for ? or their share ? Slovenly, negligent incompetent . .. or what ? Certainly negligent and a failure to keep accurate records for the PIA FSA - and shareholders / policyholders whilst mutual - and sharehiolders latterly etc., or ther auditors . . . Price Waterhouse and Coopers . Poor audit !

1.4 During my time in London a company from Harrow was owed scottish Widows many thousands of pounds. They never recovered it depite being told the whereabouts of the company directors - the reason covering up embarrassment for their incompetence and negligence of policyholders funds. This like so much other business conducted in London branch is a can of worms . . . .

1.5 Scottish Widows took me to the high Court in Bristol - to reclaim their mortgage - once I confirmed how much I had borrowed ? The judge ( Jude Green ) asked me to provide an " Affidavit ", which I did . . . . and Scottish Widows preferred not to take it any further. They used Osborne Clarke solicitors to assist them. I assume their " unsubstantiated claim ", was to generate new business from Osborne Clarke and their assiciates - in the widows times of need.

Now this one product provider Endowment plan 10 ( revamped and churned by their brokers to VEP ) - on the back of theri with profits fund - meant they were not equiped for modern life - no estate planning products - yetAnne Young was trotted out to provide solutions using tired old product. The purchase of Clerical Medical and theri eestate planning facilities - rather than be implemented - have also gone down the black hole of the scottish widows. Richard Dunbar ( no relation to " Allied " ) offers investment services. SWIP and Swindle - the investment house - with 40 funds lost 38 managers ? What kind of employer does that ?

Scottish Widows brought over 25 people from Australia ( for computers in Edinburgh ) cheap . . ." on a contract " . . . then lost them to other companies offering competitive wages ? What kind of company does that ?

These are the facts grenn eyed monster - if they were not the ever hooded sloppy widows would challenge them. You may wish to see how many women scottish widows employs - despite the Board of scottish widows and TSB formed mainly of men - and the odd " token women". The reason is they are cheap and they can be controlled so much easier . What kind of employer does that ?

For further reading learn about the way Scottish Widows treated Sir Walter Scott - then there is the Carnegie Trust ( dunfemline ) Remember JCB - ("diggers" . . .not from Australia this time ? ) . Pick up the keys for morrison strret at the back door - behind the milk bottle. SW employees running "fingers" in edinburgh - win a prize by contributing for a death lottery ticket - to see who dies first - and win a prize - first - second and third prizes on the death of the first person through scottish widows - not bad for a life assurance company ? What kind of employer allows that ?

The sloppy widows have been caught out more times than Jimmy Saville .

Alternatively, wait for my Book to be published on policyholders of sloppy widows or SWRBS - The Rape of the Scottish Widows . Alternatively join the followers on face book .

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