UK: the Financial Conduct Authority - Treasury Committee recommendations

The House of Commons Treasury Committee has published a report regarding the Financial Conduct Authority, the conduct of business regulator within the Government's new financial regulation framework: see here or here (pdf). Amongst other matters, the Committee raises concerns with regard to the accountability of the FCA and argues that much more detail should be provided in legislation regarding the relationship between the FCA, Prudential Regulation Authority and Financial Policy Committee. The Committee also argues that the Government should reconsider the FCA's strategic objective, explained as "protecting and enhancing confidence in the UK financial system” within the draft Financial Services Bill. In the Committee's view, the objective of ensuring "fair, efficient and transparent markets in financial services" would be an improvement. The Committee also argued that the promotion of competition should receive far greater prominence in the FCA's strategic and operational objectives.