RDR: Internal standards board a "cheaper" option

Establishing governance for professional standards would lead to one-off costs of £2.3-£2.5m. This, says the FSA, is more cost-effective than creating a separate organisation which would be more expensive because of higher ongoing costs. The figure involves recruiting and training staff and running a project team. The establishment of new information systems is expected to cost in the range of £0.5 - £1m. Ongoing expenses include the costs of staff carrying out policy, supervisory and enforcement activity and cost of premises. The regulator says the expenditure figures were compared w...