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Tyrie cautions over 'rushed' Financial Services Bill

by Michelle Abrego on Dec 10, 2012 at 16:46

Tyrie cautions over 'rushed' Financial Services Bill

Treasury Select Committee chairman Andrew Tyrie has expressed concern that the most recent amendments to the Financial Services Bill will be added without sufficient scrutiny and debate.

Speaking in the House of Commons, which is set to debate the amendments passed down by the House of Lords later today and tomorrow, Tyrie said that the discussions have come too quickly after the Lords completed its consideration of the Bill last week.

Tyrie warned the Bill was a positive move, but was currently not up to scratch.

'In areas where amendments have been tabled - such as requiring the Bank of England to commission retrospective reviews of its own performance and to publish records of Court meetings - the Financial Services Bill is a step forward. But it still appears to fall short of what is required.

‘We cannot be sure: the House of Commons is being asked to get the Bill on the Statute Book before either the Banking Commission or the Treasury Committee have even had a chance to examine it. 

‘This is an object lesson in how not to do it. The result could be a lawyer’s charter.’

He said that the government needed to take the opportunity of the draft Banking Reform Bill to put it in better shape.

'Better still, the government should do what the governor of the Bank of England suggested and produce a fresh Bill, something which the Treasury Select Committee also called for some time ago.' 

The members of the House of Lords completed their third reading of the Financial Services Bill where they tabled final amendments on 5 December.

The Bill is now in the House of Commons where the MPs will consider the Lords amendments.

4 comments so far. Why not have your say?

Bob Donaldson

Dec 10, 2012 at 17:03

Too little too late Mr Tyrie. You only need to look at the shambles of other legislation passed in respect of the financial services industry to see the problems giving inadequate scrutiny causes.

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Julian Stevens

Dec 10, 2012 at 17:34

If he's so concerned about the legislation governing the financial services industry, why does he never say anything about the Statutory Code of Practice for regulators and question how and why the FSA managed to get away with a unilateral opt-out from aall its provisions?

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Jonathan Kirby

Dec 11, 2012 at 10:24

I for one think that Andrew Tyrie is as angry as the rest of us about regulators who are doing so much damage in a thoughtless, reckless manner, but his hands have been effectively tied by Gordon Brown's attempt to shift blame away from himself and government by giving them such autonomy. No doubt he thought he was being clever at the time but we all live with the consequences.

RDR patently confuses everybody and from the FSA's original attempt to clarify matters, things are more muddled than ever.

I was completing a Scottish Life new RDR application yesterday and had to tick the appropriate box for our status.

I had the choice of:

Independent,

Restricted whole of market,

Restricted multi-tied,

Restricted single-tied,

Simplified

Non-advised.

So that really is clear to Joe Public!

It's time the TSC was given some real power and backed to do what is best for the country.

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Knowledgable insider

Dec 12, 2012 at 10:19

If the Government believes its blameless in matters pertaining to the FSA and intends to hide behind this shield isn’t it about time everybody working un the financial services sector made it clear that THEY BLAME THE GOVERNMENT as all this nonsense is occurring on their watch. ONLY when the Government believes it is in the firing line will anything be done about these incompetent oafs that regulate us!

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