Market access and recruitment issues central to watchdog's post-Brexit pitch

Market access and recruitment issues central to watchdog's post-Brexit pitch

As part of its new business plan, the Financial Conduct Authority (FCA) has named five principles that will "guide" its advice to the Government as the United Kingdom prepares to leave the European Union.

The wide-ranging work of the FCA, which oversees 56,000 firms, will also involve looking at the business models of retail banks and "free banking" for current account customers who do not use unauthorised overdrafts following on from the Competition and Markets Authority investigation previous year.

The financial watchdog has made a case for cross-border market access and keeping the City open to talent in a post-Brexit world.

"The UK's decision to leave the European Union creates uncertainty for both the UK's financial industry and the FCA", said Bailey, who was setting out his first annual priorities since taking the helm a year ago.

Jonathan Davidson, director of supervision for retail and authorisations, added: 'On the issue of phoenixing, we are looking at how we can improve our management information (MI) to really try to pick up on those forms of intelligence about what is going on to make sure that we deal with those issues'.

The FCA said Britain should seek to have a say over the rules it applies. "When we make regulatory judgements, we will be more transparent about how we reached them as we know that this is something our stakeholders want". Bailey said he couldn't comment on the Staley situation, but emphasized whistle-blowing was "very important" to the regulator and the agency relies on tips to aid its work.

Consistent global regulatory standards and cooperation between national authorities will also be "fundamental regardless of the outcomes of the negotiations", the FCA said.

It warned that a lack of clarity over how the negotiations will go could "potentially lead to a period of prolonged uncertainty for markets, firms and consumers" with the impact spreading beyond the financial markets and into the United Kingdom economy.

The increase is partly due to 2.5 million pounds extra needed to handle Brexit, the watchdog said.

The FCA also published a document about its mission, which in summary is "to serve the public interest through the objectives given to it by parliament".

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