The Financial Services Authority has moved to reassure the industry it will not bring enforcement action on the back of ‘good practice' industry guides once it moves to a principles based regime.
Speaking at the Association of British Insurers (ABI) conference ‘Thinking for Tomorrow’, Nick Prettejohn, chief executive of Prudential, warned moving to a principles based regime, may mean trade associations and companies themselves start producing their own handbooks and ‘good practice guidance’ to fill the gaps. He says: “We will have a hybrid regime because of Europe and the objectives of the FSA on retail markets and consumer protection mean it will be hard to let go of the comfort blanket of rules.” He points out in some cases rules are the right regulatory tool and it will...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes