Clive Adamson spoke on the move to the new regulatory structure. He looked specifically at the approach the Financial Conduct Authority (FCA) will take. He summarised this as involving:
- forward-looking assessments of potential problems;
- earlier intervention where it sees problems, including product banning;
- addressing underlying causes of problems;
- getting redress for consumers; and
- taking meaningful action against firms that do not meet regulatory standards, through imposing fines at a level to have credible deterrence.
He also discussed changes to supervision of wholesale market firms, including a clearer sector-based approach with more use of intelligence and thematic reviews. Again, supervision will centre on a firm’s business model and the risks it poses. He said there would be increased communication on the role and operation of FCA. (Source: Conduct Supervision and the Move Towards the FCA)