Treasury financial secretary Mark Hoban says the Consumer Protection and Markets Authority should not have a statutory objective to increase savings and protection levels.
Money Marketing recently launched a campaign,Pave The Way To Save, calling on the new regulator to have a greater focus on encouraging individuals to save and protect themselves and their families, including a statutory objective to “have regard” for increasing savings rates and levels of protection.
Responding to a question from Money Marketing at a fringe event at the Conservative conference in Birmingham today, Hoban said giving the CPMA such an objective would set the regulator up to fail.
He said: “We do want people to save more but how much they save is down to the individual. If we give the CPMA that objective it will set it up to fail. But there are other triggers the Government can pull to get people to save.”
Hoban reiterated the Government’s plans to launch a consultation on simplified products later this year. He said consumers need straight forward products which “do what they say on the tin” and enable providers to compete on price and performance.