FSA sees intermediaries as key risk factor

Its report, entitled Financial Risk Outlook 2007, suggests all types of financial firms need to upgrade their stress testing to meet what it sees as a higher level of risk all round, compared with two or three years ago. Wider issues include the risks associated with a human influenza pandemic, rising risk premium costs, and the rise in UK personal debt. The latter is already manifesting itself in the form of “record levels of insolvencies, late payments on credit cards and a rise in mortgage-possession orders” notes the FSA. It is precisely because of such evidence the FSA says intermed...