OFT may be removed from regulation of consumer credit

[pookeymonkey]

Hi All,

 

Just seen this on Crudit Today -

 

Credit Today online

 

Hopefully the new lot may have some teeth (and b*lls) !!!

 

Pookey

[Brigadier 1JCS]

Probably the same old face from OFT/FSA new building and higher salaries.

If it's financed by the financial industry I would think it will be as independent as

the CSA:rolleyes:

[Revenant]

"with funding provided by financial services institutions."

 

If this means the lenders will be providing any funding what so ever in my opinion the new lot will be as powerless as the OFT etc

To have any effect they must be totally independant of the Finacial Services so they cannot be influenced by them and we all know that's not going to happen

[Brigadier 1JCS]

Probably the same old face from OFT/FSA new building and higher salaries.

If it's financed by the financial industry I would think it will be as independent as

the CSA:rolleyes:

[Guest HeftyHippo]

funny. the replacement will be paid by the same bodies they are expected to take to task?

 

conflict of interest comes to mind, just a cop out from the Government, that instead of making something work properly, get rid of it, make it someone elses responsibility, make them pay for it, and everything solved. on paper you have a functioning body, its privately funded so the tax payer wins. The fcat that the new body finds that the banks are working properly just means the old inefficent OFT wasnt needed and teh cost savings are justified

[straftat]

can it they be any more feckless?

 

Remember under Gordon Brown the FSA and OFT had specific instructions to practice "light touch" regulation because the economy was Labours weak point in peoples minds before 1997 and they didnt want to scare the sheep

 

This fear allowed all manner of financial fraud under their watch

[rebel11]

It might be a levy of somekind.

[pookeymonkey]

It might be a levy of somekind.

 

That is what I was thinking/hoping.

 

The easiest way for a new regulator to get respect from the industry and public alike would be to go in hard, there must be plenty of evidence sat at the OFT.

 

Refusing to renew a couple of credit licences would be favourite, anyone know if Cabot's 'pending' licence has been granted yet?

 

Pookey

[Jasper1965]

Financial secretary to the Treasury Mark Hoban said: "The government is delivering on its commitment to reform the financial system, to avoid repeating the mistakes of the recent financial crisis and to ensure that taxpayers are protected. Today is a crucial milestone in our programme of reform."

 

 

to ensure that taxpayers are protected......

 

This can be taken two ways, either the taxpayer 'debtor' will be protected or the taxpayer who effectively pays for all the written down and subsequently reinflated bad debts will be protected. Wouldn't like to hazard a guess at this stage just whose interests will be best served but putting a fox in charge of the chicken coop tends to be pretty bad news for the chickens as a rule.

 

Still at least the OFT will be able to stop pretending to safeguard the interests of the consumer which must have been a dreadful conflict of interests since the Government became a major player in the British Banking scene.