ABI praises Tory review suggesting FSA abolishment

In his review of the Tripartite system set to be published later this week, Sir James Sassoon proposes "folding" regulation of the whole financial sector into the Bank of England (BoE). He also moots the possibility of the FSA being split in two. At the very least, Sassoon will say, the City regulator needs a major revamp that would see prudential regulation at the hub of its activities. "This is a useful addition to the debate, which deserves serious consideration," ABI director general Stephen Haddrill says. "The final version of Sir James's paper also needs to include the future of...