Sants: FCA will increase regulatory costs

The FSA has cautioned that the financial services industry will bear the brunt of higher regulatory costs under the more interventionist FCA

The financial services industry will have to bear the brunt of higher regulatory costs under the more interventionist Financial Conduct Authority, the FSA has warned.

At an FSA conference on the FCA this week, FSA chief executive Hector Sants said the early intervention approach proposed for the FCA offers greater prospects of success but comes with “the certainty of extra cost”.

FSA interim managing director of the conduct business unit Margaret Cole told conference delegates: “We are trying to raise a mature debate on the extent of what the regulator can and should do and what the costs of that might be.

“If society’s expectation is that we are going to be a much more interventionist regulator, taking more risk and bringing more enforcement action, then inevitably that comes at a cost. We have to make sure as a regulator we give value for money, we have to manage our budget carefully and make sure there are not inefficiencies and we always have to be alive to that.”

The FSA announced in March its budget was rising by 10 per cent from £454.7m in 2010/11 to £500.5m in 2011/12, including a £10.9m cost of moving to the new regulatory structure.

Register for Updates

Register to receive news updates straight to your inbox.
  • We will only send you marketing information using the details you have provided to deliver, develop and promote our products and services if you give us consent to do so. Please use the options below to indicate if you consent to us using your information for this purpose. For further information please read our privacy notice.
  • This field is for validation purposes and should be left unchanged.

Newsletter

Sign up to our newsletter
  • We will only send you marketing information using the details you have provided to deliver, develop and promote our products and services if you give us consent to do so. Please use the options below to indicate if you consent to us using your information for this purpose. For further information please read our privacy notice.
  • This field is for validation purposes and should be left unchanged.

Technology Form

  • We will only send you marketing information using the details you have provided to deliver, develop and promote our products and services if you give us consent to do so. Please use the options below to indicate if you consent to us using your information for this purpose. For further information please read our privacy notice.

Get in touch with us

We're ready to show you the future of consulting. Just fill out the form below!
  • We will only send you marketing information using the details you have provided to deliver, develop and promote our products and services if you give us consent to do so. Please use the options below to indicate if you consent to us using your information for this purpose. For further information please read our privacy notice.

PPI Case Handler Profile

Complete your details below to receive our PPI Case Handler profile.
  • We will only send you marketing information using the details you have provided to deliver, develop and promote our products and services if you give us consent to do so. Please use the options below to indicate if you consent to us using your information for this purpose. For further information please read our privacy notice.
  • This field is for validation purposes and should be left unchanged.

Subject Access Request

    We require basic personal details to locate you on our records.

Request to Delete your Personal Data

    We require basic personal details to locate you on our records so we can delete your information.

Request to Withdraw Opt-In

    We require basic personal details to locate you on our records.