The Financial Services Authority has defended itself against accusations that it is tightening regulation to ease its workload and has instead laid the blame at the door of companies.Technology experts claim that the FSA is looking to tighten regulations to lead to a standardisation of pro-cesses. They say IT services would then take over, making the regulator’s job easier. Alan Birch, sales director for FiServ Europe Russia and South Africa, says: “The FSA wants to make sure every-one has the same services and pro- cess standards in place as this would make it easier for it to do its job. “With more regulation you end up having more similar processes. In the US, the reason technology has been able to take as large a share of the market as it has is because of regulation. That’s increasingly becoming the case over here.” But a source at the FSA says: “We have never imposed standardisation. We ask only that regulated firms comply with our rules. If they outsource processes we just state that it is up to senior management to make sure the rules are adhered to. The fact is many firms want to be standardised because it saves them time and money but they won’t admit it.” Jonathan Cornell, technical director at Hamptons Mortgages, says: “Lenders probably don’t want standardisation but brokers do. If every lender has the same sort of systems it makes life easier for brokers. And lenders benefit as brokers make fewer mistakes. Origo’s open standards project is a good example of this.” Ian Giles, director of marketing at Kensington Mortgages, says: “You could say the FSA has a standardisation agenda because it has asked for all regulated returns to be sent in a standard format called XMLR. “Standardisation would make a lot of packagers’ lives easier. But this won’t come about any time soon as not many lenders will want to give away a competitive advantage by making it easier for those who have no e-commerce solution to create one.”
- Top trends
The shadow chancellor George Osborne has launched a series of new policy proposals specifically designed to help smaller businesses succeed. ?Osborne says: “Small businesses are the lifeblood of our economy. Not only do they employ over half of the entire UK workforce and generate over half of the total UK turnover, but they’re also responsible […]
Paul Rumbold has been appointed as marketing and sales director with Affirmative Finance.Affirmative, based in Manchester, opened for business in 2004 and is now one of the leading providers of short term and bridging finance. Rumbold joins a team that prides itself on service and its flexible approach to the market and intermediaries. He says: […]
The mix-adjusted average house price in June 2006 stood at 190,883, up from 190,065 in May 2006, reveals the Department of Communities and Local Government.
Pin upMole was left slack-jawed in unexpected admiration of Mortgage Strategy news editor Robert Thickett last week. The man is re-nowned for his lack of coordination in the simplest of tasks. Sometimes he struggles to walk in a straight line when sober, so hopes weren’t high for his performance in the bowling alley at GE […]
On 16 September, Health Shield and six other health cash plan providers — Westfield, Engage Mutual, Simply Health, Birmingham Hospital Saturday Fund, Medicash and Hospital Saturday Fund — will come together to participate in the Cash Plan Provider Golf Day.
News and expert analysis straight to your inboxSign up