Sixth day of FSMB debate in Lords’ Committee

The Committee stage in the Lords’ has completed its sixth day of debate on the FSM Bill. The Committee spent 2.5 hours debating a set of proposals around the creation of an office for Financial Regulatory Accountability, which would provide independent analysis to Parliament and the public of regulators’ performance. Many Lords spoke of the agreed need for regulatory accountability, and the debate also included a discussion on how any move to exonerate from blame any person who had acted reasonably and in good faith would drive a coach and horses through the SMCR. Baroness Penn committed to responding to some of the questions and comments in writing, but did not commit to any change to the Bill, and the amendment was withdrawn.

The Committee then started to debate a proposal to require PRA to review capital adequacy requirements, risk weights and solvency capital requirements with specific reference to climate change, but debate on this point did not conclude.

The Committee is next due to sit on 7 March.