Economic Affairs Committee questions BoE Governor on additional responsibilities under FSMA 2023

The Economic Affairs Committee has published a letter to Andrew Bailey, Governor of BoE, on its new responsibilities under FSMA 2023.

The Committee’s ongoing inquiry into the operational independence of BoE has received evidence on its expanding remit and questions whether it is being asked to do too much. The letter asks BoE to provide detail on how it is planning to implement its new responsibilities in the areas of regulation and supervision, and how it will balance these responsibilities with other primary and secondary objectives. It also asks for information on how BoE will develop a transparent and efficient decision-making structure to reflect the addition of the new Financial Market Infrastructure Committee.

In particular, the Committee notes that in his oral evidence of 13 June, the Governor said that the addition of numerous ‘have regards’ to BoE’s remit “makes policy-making more complicated”. It asks whether further challenges are anticipated as a result of these additional responsibilities.

The Committee asks for a response by 25 August.

Laura Wiles