The Financial Services Authority (FSA) has published its Business Plan for 2007/8. The plan outlines the FSA's priorities, which includes a move towards more principles-based regulation (MPBR).
The FSA's Chief Executive, John Tiner, said:
"More principles-based regulation will produce significant benefits for firms, markets and consumers but we need to invest in our people and information systems to realise this change. This will result in an FSA that is better equipped to face future challenges and to deliver better outcomes for all our stakeholders.
In the year ahead we are also placing increased emphasis on and investment in our National Strategy for Financial Capability. Lack of financial understanding among consumers has been recognised as a priority risk by the FSA and the need for more confident, capable consumers who can take advantage of a more dynamic market place has never been greater. We have set out our targets: we need this additional investment to achieve them."
"Those who pay our fees will benefit from having a regulatory system which focuses increasingly on achieving desired outcomes and from dealing with a more efficient, more responsive, better-focused organisation. Consumers will benefit from firms being more attuned to their needs and will receive appropriate information, while the financially excluded will benefit from a more active programme to increase their understanding of financial matters."
We shall see.