The Financial Services Authority saw staff resignations rise by 128 per cent in the second quarter as the Government announced plans to break up the regulator.
A total of 121 staff quit from the start of April to the end of July, compared to just 53 who left in the same period last year, according to data from Reynolds Porter Chamberlain obtained from a freedom of information request.
This represented a 95 per cent rise on the 62 resignations seen in the first quarter of this year.
The total number of staff to quit in the first half of the year was 183 – more than the total number of resignations seen in 2009.
A total of 3,600 people still work at the FSA and the regulator said that while 121 staff resigned in the second quarter 328 people accepted jobs during the same period.
Jonathan Davies, partner at RPC, says: “The FSA’s staff have been leaving in droves because of uncertainty over the regulator’s future. This kind of exodus cannot have a positive impact on the FSA’s ability to function.”
Chancellor George Osborne announced plans to give many of the FSA’s powers to the Bank of England in his first Mansion House speech on June 16.
The rest will be given to a new Consumer Protection and Markets Agency.