Background
Last year, the FCA's chief executive, Nikhil Rathi, wrote a 10-page letter to the then chancellor Jeremy Hunt, explaining how the regulator was meeting the requirements set out in its remit by the Treasury.
The letter, as reported by FT Adviser at the time, stated how the FCA was working to unwind some of the pre-Brexit European legislation, create ways for UK financial services companies to flourish and continue to work towards its statutory objective to protect British consumers.
The letter said: "Our three-year Strategy (2022 to 2025) and our Business Plan 2023/24 set out key areas of focus for the FCA. By working in partnership with others to reduce and prevent serious harm, we aim to reduce the drag on growth from fraud, misconduct and firm failure.
"By setting and testing higher standards, we improve trust and confidence in financial services and drive effective competition in consumers’ interests. And by promoting competition and positive change, we support UK growth and innovation."
Even back in 2021, the regulator asserted that its regulatory reporting requirements were necessary and "appropriate", as reported at the time.
"Nothing is going to change", Pruggmayer told FT Adviser. "Even when constituency MPs write on our behalf and make appeals to the Treasury, the letter gets passed around and nothing changes for the small financial adviser."
simoney.kyriakou@ft.com
