The Treasury Committee has urged Financial Conduct Authority (FCA) chairman John Griffith-Jones to ensure the new regulator does not repeat the failures of the Financial Services Authority (FSA).
In a report on the appointment of Griffith-Jones as chairman of the FCA, the committee said he needed to 'restore the credibility of the conduct regulator', arguing the FSA had 'left consumers exposed to some of the worst scandals in financial history'.
'It created a "box-ticking" culture whose benefits were far from evident and which still failed to pick up major failures in the making. We will expect Griffith-Jones and his board to ensure that the new organisation adopts a radically different approach,' it said.
The committee added that Griffith-Jones and his board colleagues would need to 'demonstrate stronger strategic leadership', claiming that the FSA board had 'appeared to fail in its oversight' of the regulator's work.
Treasury Committee chairman Andrew Tyrie (pictured), added: '[The FCA] is taking over from a body, the FSA, which failed consumers badly. If the FCA simply picks up where the FSA left off, consumers will suffer again.'