The FCA has published a speech given by its chairman, John Griffith-Jones. The speech is entitled Global regulation in the post-crisis era.
In his speech Mr Griffith-Jones reiterates what the FCA has previously said regarding Brexit, namely that firms must continue to abide by their obligations under UK law, including those derived from EU legislation. Consumers’ rights and protections remain unchanged.
Mr Griffith-Jones also observes:
- that the prudential regulatory changes made to end ‘too big to fail’ have been driven at an international level, and have had to be in order to be effective. The UK has been highly influential, but not dominant, through the quantum and quality of its input. Mr Griffith-Jones suggests that many of the really major changes in both markets and conduct regulation in the future will be driven in a similar manner;
- many EU Directives have had strong support from the UK, including for example the UCITS regime. Equally in the past the UK has borrowed some good ideas from the US. The FCA has learnt that there is no monopoly to wisdom in regulation, and that this is something that is unlikely to change in the future. In addition, the UK has made some considerable contributions that have been picked up by other authorities, through the European Securities and Markets Authority and other bodies;
- the FCA recognises the need for ‘better regulation’ not just ‘bulkier regulation’. The sheer volume of the reform agenda in response to the 2008 financial crisis has been the exception rather than the norm, and it is right to take a step back and consider how it all fits together; and
- the UK has shown itself capable of acting alone where appropriate – aiming to drive up standards in the UK and encouraging the global community to do the same. The Senior Managers’ Regime and output from the Fair and Effective Markets Review are relevant examples.
View Global regulation in the post-crisis era, 30 June 2016