Government plans to make the Consumer Protection and Markets Authority (CMPA) a ‘consumer champion' are "inappropriate, confusing and potentially dangerous", and should be dropped, the Treasury Select Committee (TSC) says.
Instead the CPMA should be forced to promote competition, the TSC says, and it criticised financial secretary to the Treasury Mark Hoban for failing to confirm this would be written into the new regime. The government risks creating a "moral hazard" if it endorses a regulator as a consumer champion as people may falsely believe all financial products are risk free, the influential Committee warns. "We strongly urge the government to drop the title of ‘consumer champion from the CPMA', the TSC says in today's report on the plans to overhaul financial services regulation. "Financial ...
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