Tiner warns capital requirements could stifle recovery
Share
Former head of the FSA John Tiner has warned that the requirements on financial companies to hold extra capital could stifle the recovery.
Tiner is now chief executive of Clive Cowdery’s consolidation vehicle Resolution and stepped down from the FSA just two months before the collapse of Northern Rock in 2007.
In an interview with the Financial Times Tiner warned that increased capital requirements would “feed through to higher prices, less funding potentially available for the real economy and for real companies, higher premiums for insurance cover.”
Tiner added: “Over the next few years it is going to be quite tough for the real economy anyway. The financial system may put even more of a brake on all of that.”
He claims that during his time at the regulator he made it better prepared to cope with the chaos that ensued in the financial system after he left.
He said: “What I did at the FSA was to take it to a place where actually they are better able to cope with what they have had to cope with in the last two years, beause I tried to make it more of a ‘can-do’ sort of culture in the organisation and not just a kind of purely cerebral think-tank kind of operation.”
Readers' comments (7)
Incompetent Regulators Awards Team | 23 Nov 2009 10:01 am
Funny how people change their views when they change on which side of the fence they work in.
When he was at the FSA he became deaf as a do do. Now he is sympathetic to businesses!
Funny how things change. Or is he just a hypocrite?
Unsuitable or offensive? Report this comment
Anonymous | 23 Nov 2009 10:17 am
Nothing to do with his own recovery then?
This man is a better escapologist than Houdini.
Unsuitable or offensive? Report this comment
John Blackmore | 23 Nov 2009 10:29 am
Incompetent Regulators Awards Team beat me to it. I find it amazing how so many ex-FSA people start to make sense once they have left. Shame it is often after they have caused so much damage
Unsuitable or offensive? Report this comment
Anonymous | 23 Nov 2009 10:45 am
This is the man at the helm of the ship who jumped knowing it was going to crash.
Why should ANYONE listen to the man. Either he was drunk at the wheel or he was a complete incompetent. I understand he may know a lot about being drunk at the wheel.....
Unsuitable or offensive? Report this comment
Julian Stevens | 23 Nov 2009 11:00 am
Tiner claims that during his time at the regulator he made it better prepared to cope with the chaos that ensued in the financial system after he left.
Which rather conveniently overlooks the matter of who was captain of the ship whilst all that (largely avoidable) chaos was brewing.
But now, of course, he dances to the tune of a different paymaster.
Unsuitable or offensive? Report this comment
Tony Martin | 23 Nov 2009 11:16 am
Tiner should never be employed again for the FS's failures, but he pops up again in another suit and spouts off as if he never had a previous counter opinion.
I wish I could just say "I'm a celebrity get me out of here" and I'd be back in the real world....heyho
Unsuitable or offensive? Report this comment
SIMON MANSELL | 23 Nov 2009 5:45 pm
The Strange Case of Dr John Jekyll Tiner and Mr Hyde.
A good pilot flies ahead of his plane. In good regulatory fashion John Tiner has selective retrospective memory syndrome brought on by his new paymenasters!
Mr Tiner carries more responsibility for this regulatory mess than those now in control! Hectors Sants is next and he will have his contract renewal due in the near future. When he is given his golden goodbye I just hope he will not want his legacy to be the Callum McCarthy RDR fiasco!
Unsuitable or offensive? Report this comment