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FSA culture “racist”, says leaked internal report

The FSA has a culture of racism, especially amongst senior staff, according to an internal report leaked to the Observer.

The newspaper says the internal report criticises FSA staff and chief executives of FSA-regulated firms for racist behaviour including offensive language and jokes.

According to The Observer, the report was compiled after more than 1,800 employees completed a “diversity climate questionnaire” online.

The report, published internally in September 2008, claims that lower-level employees are too frightened to speak out, saying it is “career suicide” to make a complaint against senior staff.

A whistleblower who leaked the report to The Observer told the newspaper: “Racism has been going on for years at the FSA and I think the problem is endemic. The FSA sanitised the report; people said things that were not put in. People have left because of frustration with discrimination. They leave before they are sacked.

“There’s no will to do anything about this in the FSA. We had a fight to get this report. The FSA would rather recruit whites from South Africa and Australia than blacks from the UK.”

An FSA spokeswoman says: “We pride ourselves on being an inclusive organisation and we do not tolerate discrimination. We commissioned this study because we wanted to see how we were doing and a lot of positives also came out of it.”

She says she is unsure whether the report will now be made public.

She adds: “I don’t see why it should be. Yes, the report did identify a small number of individual problems but it found that they were not endemic in the FSA.”


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There are 8 comments at the moment, we would love to hear your opinion too.

    Looks like I have been proved right the FSA are garbage they have destroyed the mortgage industry and now we have Racisim tell the top brass I would not give them a job cleaning my toilets

  2. Not just Freemasonry?
    Remember FSAgate on the front page of Money Marketing June 9th 2005 regarding the free-masons? They weren’t impartial then and nothing appears to have changed. Disgusting people.

  3. FSA & Racism?
    I have been working within the financial services industry for the last 15 years. I know many people from an ethnic minority background also give good service to this industry. I am horrified to be reading a report leaking such information regards the attitudes of those at senior ranks in the FSA. This is like being part of an industry to whom you dedicate your career to anf finding out that they actually hated you from within. I would be interested in seeing what other peoples’ views are and also in seeing what transpires and what changes are implemented (if any) to the FSA and its construction

  4. Response to FSA culture “racist”, says leaked internal report
    If this really is the case, and this is going on within the FSA what is going to be done about it? Will this be investigated? Its been reported that this sort of conduct is going on and even accepted, but will it change. It’s this sort of narrow-minded regime that stops the progression of possible great financiers within this industry. It’s a disgrace and I am appalled that this sort of behaviour is carrying on amongst senior members when they are meant to set an example for others to follow. When people like this caninfluence our business it makes me wonder what hope the next generation has.

    They have concentrated mainly on black and asian brokers for regulation and persecution. They have only worked the higher “example” fines for these brokers and reported them to the police. Others get away with small fines. The FSA has not regulated or outlined regulation clear enough for brokers.

  6. 100% True!
    I worked for 2 years at the FSA and encounterd racism on many different levels from jokes about my background to being put in situations that made me look incompetent – I was forced to leave and look back at it as a very stressfull 2 years and i am glad that i left. But it is worrying that if they treated their staff in this manner how do they treat the firms they visit if it happens to be run by somone who is not from a non white background. Maybe this has been highlighted by the number of non white advisers that have been banned in the last 2 years.

  7. Racialism in the FSA
    Are the FSA a law unto themselves. The FSA along with the Government need to realise they are public servants and as such should be setting and demonstrating high moral and ethical standards in their actions and decisions. It appears the FSA is morally bankrupt and is no longer capable of setting an example to the people, the majoity of which work to high exacting standards. This is especially true of IFA,s and Mortgage Brokers. Looking at the number and sources of complaints confirms this.

  8. FSA Racist
    As an advisor who happens to have an ethnic background, I am extremely disappointed that some senior staff at the FSA should behave in such a manner. It seems inconcievable that an organisation that has in effect set the codes of conduct and regulates the industry should behave in such a manner. Perhaps this is a case of the “old boy network” in action? I certainly hope not!

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