Treasury select committee chair Andrew Tyrie has slammed the Government for “rushing” the Financial Services Bill through parliament.
The House of Lords finished its third reading of the bill last Wednesday and today the bill has moved back to the House of Commons for consideration of the amendments made.
Tyrie says “big changes” have been made in the Lords and there must be more than just four days to consider the amendments.
In the Lords, there have been significant amendments on Libor reforms, payday loans, access to financial services and the use of early warning notices.
Tyrie says: “This is an object lesson in how not to do it. The result could be a lawyer’s charter.
“The Government can take the opportunity of the draft Banking Reform Bill to put it in better shape.
“Better still, the Government should do what the Governor of the Bank of England suggested and produce a fresh bill, something which the Treasury committee also called for some time ago.”
The Government launched the bill in March to create the new financial regulatory framework of Financial Conduct Authority and Prudnetial Regulation Suthority under the Bank of England.
There is currently no date for when the final bill will become law but it is in the final stages of parliamentary scrutiny.
Telos Solutions director Richard Farr says: “It is much better to get the law right rather than rush through ill-considered legislation, especially when it is this critical. Any delay would not stop the FSA from practically changing to the FCA and PRA next year.”