The FCA is setting up a Global Financial Innovation Network with other regulators to promote innovation in financial services across the world.
Ealier this year, the FCA said it wanted to build on its “regulatory sandbox” – where innovative firms can trial new business models with dedicated support – to strike a global deal over how firms can better work with regulators to bring new models into different countries as they increase in scale.
The FCA has said that it received 50 responses to that paper, which sounded a positive note on the idea of further collaboration from regulators.
The FCA has now issued a consultation on what tools the new network should have an how it can deliver on its objectives.
At its heart, the FCA is proposing three main functions for the network, from providing a trial environment for cross-border business and a forum for joint policy work, to commiting to share what has worked and what hasn’t when it comes to emerging technology in each market.
FCA strategy and competition director Chris Woolard says the network is “an important next step for organisations like [the FCA] who are actively engaged in understanding and harnessing the benefits of innovation in financial services for consumers, while managing the potential harm.”
He adds: “The establishment of the network can help share the experiences and knowledge from across different markets, while also providing a platform for innovative firms wishing to scale their propositions via testing in multiple countries.”