News
Hoban to detail plans for FSA disbandment
26 July 2010 at 13:27
City minister Mark Hoban will today outline plans to disband the Financial Services Authority (FSA) over the next two years and answer questions regarding the role the regulator will play in the lead up to it.
Initially, the focus will be on City reform, where Mr Hoban will attempt to reassure organisations that the coalition government's new plans for the Bank of England to have "sweeping powers" will be effective.
The move has not yet been met with universal support, with many questioning whether the FSA will be able to effectively maintain order in the sector and curb criminal activity during the period of transition.
"Bankers also want answers to where certain roles currently performed by the FSA – such as regulating the stock market through what are known as the listing rules – will take place," the Guardian stated.
It comes after the FSA last week announced it has implemented new powers granted by the Financial Services Act, which include the right to impose financial penalties or public censure on those who breach short-selling rules, as well as disclosure of significant net short positions.
Posted by James Harrison