Regulators Are Harming UK as a Financial Center, Lawmakers Warn

Regulators Are Harming UK as a Financial Center, Lawmakers Warn

A culture of risk aversion and mission creep among UK financial regulators is undermining trust and placing costly burdens on banks and insurers, an influential group of parliamentarians found.

Letting banks loose is back on the agenda as UK politicians chase growth at any cost

Labour has helped get ball rolling by lifting the bankers’ bonus cap but we have seen before how this play ends As the old ways of turning a profit become more difficult – from assembling cars to selling soap powder – politicians of all stripes want the City to inject some dynamism into the economy. From Labour to Reform, the siren call of London’s financial district is strong. If only, they ask, the wheels of the banking industry could be crank…

Lords’ Committee report - Growing pains: clarity and culture change required

On 13 June 2025, the House of Lords’ Financial Services Regulation Committee (the Committee) issued a report, Growing pains: clarity and culture change required – An examination of the secondary international competitiveness and growth objective. Background The Committee’s inquiry examined the progress made in driving the Prudential Regulation Authority and Financial Conduct Authority (FCA) to support growth, both in the financial services secto…

Culture of risk aversion among financial regulators undermines their competitiveness and growth objective, warns Committee report