The Bankwatch

Tracking the consumer evolution of financial services

Financial Services Authority will survive under new coalition government

One outcome of the new Lib/Con coalition is that the FSA will survive.  The suggestion is that systemic banking risk will be a specific responsibility of the Bank of England but that individual bank monitoring will remain with the FSA.  This will be welcome news to UK banks who remain concerned about relative competition with foreign jurisdiction banks.

Osborne aide says FSA might survive | ft.com

George Osborne, the new Tory chancellor, has been forced to water down plans to hand over banking supervision to the Bank of England under a five-year coalition deal struck with the Liberal Democrats.

Tory officials admitted that the Financial Services Authority could survive the planned shake-up of banking regulation, a move that will delight many in the City who feared that Mr Osborne’s original plan would lead to serious upheaval.

Written by Colin Henderson

May 13, 2010 at 09:24

Posted in Uncategorized

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