KPMG research casts doubt over FSA regulation drive
FSA’s ‘more principles-based regulation initiative' not well supported says KPMG
Research by KPMG has cast doubt over the
Financial Services Authority’s initiative
on more principles-based regulation (MPBR).
It found that the majority of respondents (59%) did not yet have a project in
place to implement MPBR. However, 72% regard the principles as implicitly or
largely embedded in their firm’s philosophy, culture, strategy and business
practice.
Over half – 53% said they felt MPBR was the responsibility of senior
management, excluding the CEO. Only 12% thought it was the responsibility of the
CEO.
A positive finding was that two thirds believed the MPBR will reduce their
regulatory burden, while 56% said it would result in operational and cost
efficiencies.
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