FSL Chain Mail (6th June 2022)

FSL’s Chain Mail is a regular blog containing links to news articles that we think are worth sharing.

The Queen’s speech, which establishes the government’s parliamentary agenda for the next legislative year, comprised a mixture of new proposals and long-made pledges. This edition of Chain Mail highlights the financial sector’s reaction to the Financial Services and Markets Bill.

Intended to rescind and replace EU law with UK-specific regulation, the Financial Services and Markets Bill, will update the objectives of regulators to ensure a focus on growth and international competitiveness.  As well as reform rules regulating the UK’s capital markets to promote investments, introduce further protections for investors of financial products to enhance safety and support for scam victims.  In a press release published by HM Treasury, the Government states that the purpose of the bill is to “maintain and enhance the UK’s position as a global leader in financial services having left the EU”.

Tom Selby, Head of Retirement Policy at AJ Bell, speaking with Money Marketing welcomed the government’s announcements, he stated: “The introduction of the Consumer Duty has the potential to transform UK financial services for the better”.

Steven Cameron, Pensions Director at Aegon discussed the government proposals with IFA Magazine and believes that “the inclusion of the Financial Services Bill… paves the way for helpful changes to how financial services are regulated and in turn the services firms can offer to customers”.

The Association of British Insurers, Director of Regulation, Charlotte Clarke, addressed the government’s plans, when speaking with PensionsAge and said: “we welcome the introduction of the Financial Services Bill and the ambition to maintain and enhance the UK’s position as a global leader in financial services. We support the focus on growth and international competitiveness and look forward to seeing further detail in particular on the objectives for regulators to ensure there is meaningful change”.

David Postings, Chief Executive of UK Finance applauded the proposed legislation. He stated, “We strongly welcome the announcement in the Queen’s Speech that the government will bring forward a Financial Services Bill and a further Economic Crime Bill… The Financial Service Bill provides the opportunity to tailor the UK’s regulatory framework and so create a more competitive financial services sector post-Brexit, supporting jobs and investment across the country”.

We continue to monitor changes to legislation, whilst trying to understand the potential issues on the market, our clients and their customers.

Look out for our next edition with more FSL Chain Mail links.