The Government told Treasury Select Committee members it had expressed concerns about the realistic possibility of creating a summary risk rating tool for financial products, according to its response to recent TSC proposals.
Details of the government response to the TSC report on confidence in the long-term savings report – published last week - suggests the government was concerned about the practicalities of any attempt to create a standardised risk ratings indicator, similar to a traffic light system proposed by Angela Eagle MP. In a letter sent by the Treasury to the TSC committee, officials say: “The Government has previously informed the Committee that we have concerns surrounding the practical difficulties that a summary risk rating could have, especially when one considers that the risk profile of...
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