Fidelity says FSA damaging competitiveness

Fidelity International European chief executive Robert Higginbotham has warned that the FSA’s “overly bureaucratic and intrusive” regulation is damaging UK competitiveness.

His comments were made as part of a new CBI report about investment in the UK which explored current barriers to investment.

Higginbotham says: “Business opportunities and jobs are moving abroad and the Government must look carefully at why this is the case. A key issue is the overly bureau- cratic and intrusive regulation by the FSA.

“This is not an invitation for weak regulation but for carefully considered and appropriate regulation.”

Hargreaves Lansdown chief executive Ian Gorham says the regulator has had to be intrusive in the past couple of years. However, he says he has concerns about future regulatory proposals.

He says: “I do not agree with them announcing regulatory investigations before they are concluded. You should not be allowed to name and shame at that stage.”
IMA chief executive Richard Saunders says there needs to be “a proportionate regulatory environment in the future backed up by a stable and predictable tax regime so that the industry and customers can thrive”.

AIC communications dir-ector Annabel Brodie-Smith says: “One of the difficulties in creating a balanced regula-tory regime in the UK which protects consumers and promotes competitiveness is that we are part of a European regulatory system.”