New City regulator will allow banks to fail FSA, says Sants

first_img More From Our Partners Police Capture Elusive Tiger Poacher After 20 Years of Pursuing the Huntergoodnewsnetwork.orgA ProPublica investigation has caused outrage in the U.S. this weekvaluewalk.comBrave 7-Year-old Boy Swims an Hour to Rescue His Dad and Little Sistergoodnewsnetwork.orgFlorida woman allegedly crashes children’s birthday party, rapes teennypost.comNative American Tribe Gets Back Sacred Island Taken 160 Years Agogoodnewsnetwork.orgKiller drone ‘hunted down a human target’ without being told tonypost.comAstounding Fossil Discovery in California After Man Looks Closelygoodnewsnetwork.orgMark Eaton, former NBA All-Star, dead at 64nypost.comRussell Wilson, AOC among many voicing support for Naomi New City regulator will allow banks to fail FSA, says Sants Monday 13 December 2010 8:58 pm Share KCS-content THE chief executive of the Financial Services Authority (FSA) said yesterday one of the biggest jobs its successor would face would be to convince the public that banks should be allowed to fail.Hector Sants said the Prudential Regulatory Authority (PRA), which he will take control of in 2012, would be more willing to allow fims to fail than its predecessor.He said: “Where it will feel different is the fact that it has a far narrower focus and the recognition that we are not seeking to operate a ‘zero failure’ regime is now directly built into the statutory objective.”The FSA boss said not all firms regulated by the PRA would pose a risk to its statutory objective of maintaining stable financial markets by their failure. He also suggested the PRA would spend a far higher proportion of its budget managing the decline of firms in an efficient manner.But he admitted “persuading society that this in an acceptable goal will be a challenge.”Sants added the UK was unlikely to introduce additional capital requirements on big banks if international agreement could not be reached. “We do understand the importance of large global institutions operating in London having a level playing field globally so we would not likely be superequivalent or gold plate,” he said. whatsapp Show Comments ▼ Tags: NULL whatsapplast_img read more