The FSA notes the publication of the Government White Paper and welcomes the intention to legislate to give the FSA a statutory objective in respect of financial stability as well as new powers to act in pursuit of this objective.
The Government has endorsed the key findings of the Turner Review, in particular, the recommendations in respect of capital and liquidity reforms and has proposed additional powers to help the FSA act on the lessons learned from the global crisis. These include new powers in the areas of enforcement and information gathering and an explicit statutory duty to promote sound international regulation and supervision. The White Paper recognises the role the FSA is playing in reaching global agreement on how to pursue these issues, working in international fora.
Also welcome is confirmation of the Government's intention that the FSA's work on financial capability will be strengthened and the Money Guidance service rolled-out nationally, reinforcing the importance of supporting and protecting consumers.